diff --git a/packages/components/src/utils.ts b/packages/components/src/utils.ts
index 8167a350..363dd026 100644
--- a/packages/components/src/utils.ts
+++ b/packages/components/src/utils.ts
@@ -355,9 +355,13 @@ export const getEnvironmentVariable = (name: string): string | undefined => {
  */
 const getEncryptionKeyFilePath = (): string => {
     const checkPaths = [
+        path.join(__dirname, '..', '..', 'encryption.key'),
         path.join(__dirname, '..', '..', 'server', 'encryption.key'),
+        path.join(__dirname, '..', '..', '..', 'encryption.key'),
         path.join(__dirname, '..', '..', '..', 'server', 'encryption.key'),
+        path.join(__dirname, '..', '..', '..', '..', 'encryption.key'),
         path.join(__dirname, '..', '..', '..', '..', 'server', 'encryption.key'),
+        path.join(__dirname, '..', '..', '..', '..', '..', 'encryption.key'),
         path.join(__dirname, '..', '..', '..', '..', '..', 'server', 'encryption.key')
     ]
     for (const checkPath of checkPaths) {
diff --git a/packages/server/src/index.ts b/packages/server/src/index.ts
index e1ac4724..34357ea9 100644
--- a/packages/server/src/index.ts
+++ b/packages/server/src/index.ts
@@ -44,7 +44,8 @@ import {
     transformToCredentialEntity,
     decryptCredentialData,
     clearSessionMemory,
-    replaceInputsWithConfig
+    replaceInputsWithConfig,
+    getEncryptionKey
 } from './utils'
 import { cloneDeep, omit } from 'lodash'
 import { getDataSource } from './DataSource'
@@ -82,6 +83,9 @@ export class App {
 
                 // Initialize API keys
                 await getAPIKeys()
+
+                // Initialize encryption key
+                await getEncryptionKey()
             })
             .catch((err) => {
                 logger.error('❌ [server]: Error during Data Source initialization:', err)