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+# Database Directory
+
+This directory contains SQLite database files for the application.
+
+## Initial Setup
+
+After cloning the repository, initialize the databases:
+
+```bash
+# Initialize BOTH databases (recommended)
+npm run db:init
+
+# Or initialize them separately:
+npm run db:init:app        # Creates database.sqlite (User + Device tables)
+npm run db:init:locations  # Creates locations.sqlite (Location cache)
+```
+
+**Default admin credentials:**
+- Username: `admin`
+- Password: `admin123`
+
+**Default devices:**
+- Device 10: "Device A" (red #e74c3c)
+- Device 11: "Device B" (blue #3498db)
+
+## Database Files
+
+- `database.sqlite` - User accounts and device configuration (critical)
+- `locations.sqlite` - Location tracking cache (disposable, can be regenerated)
+- `.gitkeep` - Ensures this directory exists in git
+
+**Note:** Database files (*.db, *.sqlite) are NOT tracked in git to avoid conflicts.
+Only the schema (via init scripts) is versioned.
+
+## Maintenance
+
+```bash
+# Clean up old location data (keeps last 7 days)
+npm run db:cleanup:7d
+
+# Clean up old location data (keeps last 30 days)
+npm run db:cleanup:30d
+
+# Get database statistics
+curl http://localhost:3000/api/locations/ingest
+```
+
+## Backup Strategy
+
+**database.sqlite** (critical):
+- Daily automated backups recommended
+- Contains user accounts and device configurations
+- Keep 30-day retention
+
+**locations.sqlite** (cache):
+- Optional backups
+- Can be regenerated from NocoDB if needed
+- Or use automatic cleanup to keep size manageable