diff --git a/README.md b/README.md
index f78dba2..0fd2f02 100644
--- a/README.md
+++ b/README.md
@@ -33,3 +33,11 @@ NOTE: service-name is an optional parameter. If not provided, devservices will a
 - `devservices list-dependencies <service-name>`: List all dependencies for a service and whether they are enabled/disabled.
 - `devservices update` Update devservices to the latest version.
 - `devservices purge`: Purge the local devservices cache.
+
+## Debug Mode
+
+To enable debug mode, set the `DEBUG` environment variable to `true`:
+
+```
+export DEBUG=true
+```
diff --git a/devservices/constants.py b/devservices/constants.py
index 027147e..d8cbdc8 100644
--- a/devservices/constants.py
+++ b/devservices/constants.py
@@ -19,6 +19,7 @@
     "extensions.partialClone": "true",
     "core.sparseCheckout": "true",
 }
+DEBUG = os.getenv("DEBUG", "false").lower() == "true"
 
 DOCKER_COMPOSE_DOWNLOAD_URL = "https://github.com/docker/compose/releases/download"
 DEVSERVICES_DOWNLOAD_URL = "https://github.com/getsentry/devservices/releases/download"
diff --git a/devservices/utils/dependencies.py b/devservices/utils/dependencies.py
index 5d9cf8e..80c2e8a 100644
--- a/devservices/utils/dependencies.py
+++ b/devservices/utils/dependencies.py
@@ -14,6 +14,7 @@
 from devservices.configs.service_config import load_service_config_from_file
 from devservices.configs.service_config import RemoteConfig
 from devservices.constants import CONFIG_FILE_NAME
+from devservices.constants import DEBUG
 from devservices.constants import DEPENDENCY_CONFIG_VERSION
 from devservices.constants import DEPENDENCY_GIT_PARTIAL_CLONE_CONFIG_OPTIONS
 from devservices.constants import DEVSERVICES_DEPENDENCIES_CACHE_DIR
@@ -436,4 +437,9 @@ def _has_remote_config(remote_config: RemoteConfig | None) -> TypeGuard[RemoteCo
 def _run_command(
     cmd: list[str], cwd: str, stdout: int | TextIO | None = subprocess.DEVNULL
 ) -> None:
-    subprocess.run(cmd, cwd=cwd, check=True, stdout=stdout, stderr=subprocess.DEVNULL)
+    if DEBUG:
+        subprocess.run(cmd, cwd=cwd, check=True)
+    else:
+        subprocess.run(
+            cmd, cwd=cwd, check=True, stdout=stdout, stderr=subprocess.DEVNULL
+        )
diff --git a/devservices/utils/docker_compose.py b/devservices/utils/docker_compose.py
index 6943202..ec23580 100644
--- a/devservices/utils/docker_compose.py
+++ b/devservices/utils/docker_compose.py
@@ -4,6 +4,7 @@
 import platform
 import re
 import subprocess
+import sys
 from collections.abc import Callable
 from typing import cast
 
@@ -11,6 +12,7 @@
 
 from devservices.configs.service_config import load_service_config_from_file
 from devservices.constants import CONFIG_FILE_NAME
+from devservices.constants import DEBUG
 from devservices.constants import DEPENDENCY_CONFIG_VERSION
 from devservices.constants import DEVSERVICES_DEPENDENCIES_CACHE_DIR
 from devservices.constants import DEVSERVICES_DEPENDENCIES_CACHE_DIR_KEY
@@ -269,11 +271,62 @@ def run_docker_compose_command(
     cmd_outputs = []
     for cmd in docker_compose_commands:
         try:
-            cmd_outputs.append(
-                subprocess.run(
-                    cmd, check=True, capture_output=True, text=True, env=current_env
+            if DEBUG:
+                # Use Popen for real-time output streaming when debug is True
+                process = subprocess.Popen(
+                    cmd,
+                    env=current_env,
+                    stdout=subprocess.PIPE,
+                    stderr=subprocess.PIPE,
+                    text=True,
+                    bufsize=1,
+                    universal_newlines=True,
+                )
+
+                stdout_data = []
+                stderr_data = []
+
+                # Read stdout and stderr in real-time
+                while True:
+                    stdout_line = process.stdout.readline() if process.stdout else ""
+                    stderr_line = process.stderr.readline() if process.stderr else ""
+
+                    if stdout_line:
+                        print(stdout_line.rstrip())
+                        stdout_data.append(stdout_line)
+                    if stderr_line:
+                        print(stderr_line.rstrip(), file=sys.stderr)
+                        stderr_data.append(stderr_line)
+
+                    if (
+                        not stdout_line
+                        and not stderr_line
+                        and process.poll() is not None
+                    ):
+                        break
+
+                if process.returncode != 0:
+                    raise subprocess.CalledProcessError(
+                        process.returncode,
+                        cmd,
+                        "".join(stdout_data),
+                        "".join(stderr_data),
+                    )
+
+                cmd_outputs.append(
+                    subprocess.CompletedProcess(
+                        args=cmd,
+                        returncode=process.returncode,
+                        stdout="".join(stdout_data),
+                        stderr="".join(stderr_data),
+                    )
+                )
+            else:
+                cmd_outputs.append(
+                    subprocess.run(
+                        cmd, check=True, capture_output=True, text=True, env=current_env
+                    )
                 )
-            )
         except subprocess.CalledProcessError as e:
             raise DockerComposeError(
                 command=command,