diff --git a/.gitignore b/.gitignore
index f6f8b639..64cefe08 100644
--- a/.gitignore
+++ b/.gitignore
@@ -2,6 +2,9 @@ icons/.DS_Store
 
 resources.py
 
+.idea*
+labelImg.egg-info*
+
 *.pyc
 .*.swp
 
diff --git a/contributors.txt b/CONTRIBUTING.rst
similarity index 100%
rename from contributors.txt
rename to CONTRIBUTING.rst
diff --git a/HISTORY.rst b/HISTORY.rst
new file mode 100644
index 00000000..ccab11fc
--- /dev/null
+++ b/HISTORY.rst
@@ -0,0 +1,13 @@
+=======
+History
+=======
+
+1.2.3 (2017-04-22)
+------------------
+
+* Fix issues
+
+1.2.2 (2017-01-09)
+------------------
+
+* Fix issues
diff --git a/LICENSE.md b/LICENSE
similarity index 96%
rename from LICENSE.md
rename to LICENSE
index a4dfe2dc..0ffc8fe0 100644
--- a/LICENSE.md
+++ b/LICENSE
@@ -1,4 +1,4 @@
-Copyright (c) <2015-2016> Tzutalin
+Copyright (c) <2015-Present> Tzutalin
 
 Copyright (C) 2013  MIT, Computer Science and Artificial Intelligence Laboratory. Bryan Russell, Antonio Torralba, William T. Freeman
 
diff --git a/MANIFEST.in b/MANIFEST.in
new file mode 100644
index 00000000..a3063081
--- /dev/null
+++ b/MANIFEST.in
@@ -0,0 +1,14 @@
+include CONTRIBUTING.rst
+include LICENSE
+include README.rst
+
+include resources.qrc
+
+recursive-include data *
+recursive-include icons *
+recursive-include libs *
+
+recursive-exclude build-tools *
+recursive-exclude tests *
+recursive-exclude * __pycache__
+recursive-exclude * *.py[co]
diff --git a/README.md b/README.rst
similarity index 96%
rename from README.md
rename to README.rst
index 52e6fb51..99c482d3 100644
--- a/README.md
+++ b/README.rst
@@ -16,8 +16,7 @@ Annotations are saved as XML files in PASCAL VOC format, the format used by [Ima
 
 ### Download prebuilt binaries
 
-* Windows &  Linux
- * [http://tzutalin.github.io/labelImg/](http://tzutalin.github.io/labelImg/)
+* [Windows & Linux](http://tzutalin.github.io/labelImg/)
 
 * OS X
  * Binaries for OS X are not yet available. Help would be appreciated. At present it must be [built from source](#os-x).
diff --git a/__init__.py b/__init__.py
new file mode 100644
index 00000000..e69de29b
diff --git a/_init_path.py b/_init_path.py
deleted file mode 100644
index 9a0ab467..00000000
--- a/_init_path.py
+++ /dev/null
@@ -1,9 +0,0 @@
-"""Set up paths"""
-import sys
-
-
-def add_path(path):
-    if path not in sys.path:
-        sys.path.insert(0, path)
-
-add_path('libs')
diff --git a/labelImg.py b/labelImg.py
index b8073c54..b4cc5703 100644
--- a/labelImg.py
+++ b/labelImg.py
@@ -26,7 +26,8 @@ except ImportError:
     from PyQt4.QtCore import *
 
 import resources
-
+# Add internal libs
+sys.path.insert(0, 'libs')
 from lib import struct, newAction, newIcon, addActions, fmtShortcut
 from shape import Shape, DEFAULT_LINE_COLOR, DEFAULT_FILL_COLOR
 from canvas import Canvas
@@ -1285,7 +1286,7 @@ def get_main_app(argv=[]):
     return app, win
 
 
-def main(argv):
+def main(argv=[]):
     '''construct main app and run it'''
     app, _win = get_main_app(argv)
     return app.exec_()
diff --git a/libs/pascal_voc_io.py b/libs/pascal_voc_io.py
index 0a16c4cb..d47fe587 100644
--- a/libs/pascal_voc_io.py
+++ b/libs/pascal_voc_io.py
@@ -1,6 +1,5 @@
 #!/usr/bin/env python
 # -*- coding: utf8 -*-
-import _init_path
 import sys
 from xml.etree import ElementTree
 from xml.etree.ElementTree import Element, SubElement
diff --git a/setup.cfg b/setup.cfg
new file mode 100644
index 00000000..71c98697
--- /dev/null
+++ b/setup.cfg
@@ -0,0 +1,11 @@
+[bumpversion]
+current_version = 1.2.3
+commit = True
+tag = True
+
+[bumpversion:file:setup.py]
+search = version='{current_version}'
+replace = version='{new_version}'
+
+[bdist_wheel]
+universal = 1
diff --git a/setup.py b/setup.py
new file mode 100644
index 00000000..9ef41ad6
--- /dev/null
+++ b/setup.py
@@ -0,0 +1,61 @@
+#!/usr/bin/env python
+# -*- coding: utf-8 -*-
+
+from setuptools import setup
+
+with open('README.rst') as readme_file:
+    readme = readme_file.read()
+
+with open('HISTORY.rst') as history_file:
+    history = history_file.read()
+
+requirements = [
+    # TODO: put package requirements here
+]
+
+test_requirements = [
+    'qt',
+    'qt4',
+    'libxml2'
+]
+
+setup(
+    name='labelImg',
+    version='1.2.3',
+    description="LabelImg is a graphical image annotation tool and label object bounding boxes in images",
+    long_description=readme + '\n\n' + history,
+    author="TzuTa Lin",
+    author_email='tzu.ta.lin@gmail.com',
+    url='https://github.com/tzutalin/labelImg',
+    packages=[
+        'labelImg',
+    ],
+    package_dir={'labelImg':
+                 '.'},
+    entry_points={
+        'console_scripts': [
+            'labelImg=labelImg.labelImg:main'
+        ]
+    },
+    include_package_data=True,
+    install_requires=requirements,
+    license="MIT license",
+    zip_safe=False,
+    keywords='labelImg',
+    classifiers=[
+        'Development Status :: 2 - Pre-Alpha',
+        'Intended Audience :: Developers',
+        'License :: OSI Approved :: MIT License',
+        'Natural Language :: English',
+        "Programming Language :: Python :: 2",
+        'Programming Language :: Python :: 2.6',
+        'Programming Language :: Python :: 2.7',
+        'Programming Language :: Python :: 3',
+        'Programming Language :: Python :: 3.3',
+        'Programming Language :: Python :: 3.4',
+        'Programming Language :: Python :: 3.5',
+        'Programming Language :: Python :: 3.6',
+    ],
+    test_suite='tests',
+    tests_require=test_requirements
+)