diff --git a/source/src/services.cpp b/source/src/services.cpp
index 57391cb..dbfb520 100644
--- a/source/src/services.cpp
+++ b/source/src/services.cpp
@@ -114,17 +114,13 @@ namespace dropshell
         template_info tinfo = gTemplateManager().get_template_info(service.template_name);
         if (!tinfo.is_set())
         {
-            // Template might be available from registry but not cached yet
-            // Don't fail here - let the install command handle downloading if needed
-            warning << "Template '" << service.template_name << "' not found locally, may need to download from registry" << std::endl;
-            // Set template_name but leave local_template_path empty
-            // The install command will try to get the template again
-        }
-        else
-        {
-            // find the template path
-            service.local_template_path = tinfo.local_template_path();
+            // Template not found - this means it's not available locally OR from registry
+            error << "Template '" << service.template_name << "' not found locally or in registry" << std::endl;
+            return LocalServiceInfo();
         }
+        
+        // Template is available (either locally or downloaded from registry)
+        service.local_template_path = tinfo.local_template_path();
 
         { // set the user.
             auto it = variables.find("SSH_USER");
@@ -279,13 +275,13 @@ namespace dropshell
                  << std::endl;
             return false;
         }
+        // Try to get the template - this will download from registry if needed
         template_info tinfo = gTemplateManager().get_template_info(it->second);
         if (!tinfo.is_set())
         {
-            // Don't fail here - template might be available from registry but not cached yet
-            // This allows services to be installed even when templates need to be downloaded
-            warning << "Template '" << it->second << "' not immediately available, may need to download from registry" << std::endl;
-            // Continue anyway - the actual install/operation will handle downloading if needed
+            // Template is not available locally or from registry
+            error << "Template '" << it->second << "' not found locally or in registry" << std::endl;
+            return false;
         }
 
         return true;