A solid folder structure is key to building scalable, maintainable, and high-performing Next.js applications. In this post, we’ll walk through how to organize your Next.js 15 project the right way.

Why Folder Structure Is Important

• Makes it easier to manage and scale your codebase over time
• Promotes smooth collaboration in teams
• Improves performance and boosts development speed

Recommended Folder Layout for Next.js 15

Here’s a tried-and-true structure tailored for modern Next.js projects:

Folder-by-Folder Breakdown

1. app/ – Application Routing

• Leverage the App Router’s features like nested and parallel routes ((auth), (dashboard))
• Use advanced route handlers for backend API logic

2. components/ – UI Elements

• Split components into subfolders like ui/, shared/, and dashboard/
• Keep components independent to avoid circular dependencies

3. lib/ – External Setup

• Centralize configurations for external services such as Firestore

// lib/firestore.ts
import { Firestore } from '@google-cloud/firestore'

const firestore = new Firestore({
    projectId: process.env.GOOGLE_CLOUD_PROJECT,
    databaseId: process.env.GOOGLE_CLOUD_DATABASE_ID,
})
export default firestore

4. services/ – Business Logic Layer

• Abstract away domain-specific logic and API calls for better clarity

5. hooks/ – Reusable Logic

• Build composable custom hooks to simplify component logic

6. contexts/ – Shared Application State

• Use context providers or state managers like Redux or Zustand here

7. utils/ – Utility Helpers

• Store reusable, pure functions (e.g., formatters, validators)

8. types/ – Type Declarations

• Maintain centralized type definitions to keep code consistent

9. styles/ – Global Styles

• Use Tailwind CSS or CSS modules for styling components

10. tests/ – Application Testing

• Organize unit and integration tests using tools like Jest and Playwright

🚫 Mistakes to Avoid

• Making the structure too deep or too shallow
• Blending business logic with UI code
• Spreading type definitions across the project

🚀 Tips to Boost Performance

• Use next/dynamic to lazy-load heavy components
• Implement React Server Components and caching layers

Organizing API Routes and Server Actions

• Keep server-side logic cleanly grouped in /app/api/
• Choose wisely between Server Actions and API Routes, depending on use case

// Example API handler
import { NextResponse } from 'next/server'
import firestore from '@/lib/firestore'

export async function GET(req: Request) {
    const snapshot = await firestore.collection('users').get()
    const users = snapshot.docs.map(doc => doc.data())
    return NextResponse.json({ users })
}

Final Checklist for a Solid Project Setup

• Logical, consistent folder layout
• Clear separation of concerns
• Use static analysis tools like ESLint and dependency checkers

By following this structure, your Next.js project will stay clean, scalable, and ready to grow — no matter how complex it gets.