diff --git a/BLL/Exceptions/EntityNotFoundException.cs b/BLL/Exceptions/EntityNotFoundException.cs
new file mode 100644
index 00000000..ed0ad605
--- /dev/null
+++ b/BLL/Exceptions/EntityNotFoundException.cs
@@ -0,0 +1,8 @@
+using System;
+
+namespace TodoApiDTO.BLL.Exceptions
+{
+    public class EntityNotFoundException : Exception
+    {
+    }
+}
diff --git a/BLL/ITodoItemManager.cs b/BLL/ITodoItemManager.cs
new file mode 100644
index 00000000..75c2e4b5
--- /dev/null
+++ b/BLL/ITodoItemManager.cs
@@ -0,0 +1,16 @@
+using System.Collections.Generic;
+using System.Threading.Tasks;
+using Microsoft.AspNetCore.Mvc;
+using TodoApiDTO.Models;
+
+namespace TodoApiDTO.BLL
+{
+    public interface ITodoItemManager
+    {
+        Task<ICollection<TodoItemDTO>> GetAllTodoItems();
+        Task<TodoItemDTO> GetTodoItemById(long id);
+        Task UpdateTodoItem(long id, TodoItemDTO newTodoItem);
+        Task<TodoItemDTO> Create(TodoItemDTO todoItemDto);
+        Task DeleteTodoItem(long id);
+    }
+}
diff --git a/BLL/TodoItemManager.cs b/BLL/TodoItemManager.cs
new file mode 100644
index 00000000..5d3581e3
--- /dev/null
+++ b/BLL/TodoItemManager.cs
@@ -0,0 +1,82 @@
+using System.Collections.Generic;
+using System.Linq;
+using System.Threading.Tasks;
+using TodoApi.Models;
+using TodoApiDTO.BLL.Exceptions;
+using TodoApiDTO.DAL.Repositories;
+using TodoApiDTO.Models;
+
+namespace TodoApiDTO.BLL
+{
+    public class TodoItemManager : ITodoItemManager
+    {
+        private readonly ITodoItemRepository _repository;
+
+        public TodoItemManager(ITodoItemRepository repository)
+        {
+            _repository = repository;
+        }
+
+        public async Task<ICollection<TodoItemDTO>> GetAllTodoItems()
+        {
+            var items = await _repository.GetAll();
+            return items.Select(ItemToDTO).ToList();
+        }
+
+        public async Task<TodoItemDTO> GetTodoItemById(long id)
+        {
+            var item = await _repository.GetById(id);
+            if (item == null)
+            {
+                throw new EntityNotFoundException();
+            }
+
+            return ItemToDTO(item);
+        }
+
+        public async Task UpdateTodoItem(long id, TodoItemDTO newTodoItem)
+        {
+            var todoItem = await _repository.GetById(id);
+            if (todoItem == null)
+            {
+                throw new EntityNotFoundException();
+            }
+
+            todoItem.Name = newTodoItem.Name;
+            todoItem.IsComplete = newTodoItem.IsComplete;
+
+            await _repository.SaveAsync();
+        }
+
+        public async Task<TodoItemDTO> Create(TodoItemDTO todoItemDto)
+        {
+            var todoItem = new TodoItem
+            {
+                IsComplete = todoItemDto.IsComplete,
+                Name = todoItemDto.Name
+            };
+            await _repository.Create(todoItem);
+            await _repository.SaveAsync();
+            return ItemToDTO(todoItem);
+        }
+
+        public async Task DeleteTodoItem(long id)
+        {
+            var item = await _repository.GetById(id);
+            if (item == null)
+            {
+                throw new EntityNotFoundException();
+            }
+            _repository.Delete(item);
+            await _repository.SaveAsync();
+        }
+
+        private static TodoItemDTO ItemToDTO(TodoItem todoItem) =>
+            new TodoItemDTO
+            {
+                Id = todoItem.Id,
+                Name = todoItem.Name,
+                IsComplete = todoItem.IsComplete
+            };
+    }
+}
diff --git a/Controllers/TodoItemsController.cs b/Controllers/TodoItemsController.cs
index 0ef138e7..db0527a2 100644
--- a/Controllers/TodoItemsController.cs
+++ b/Controllers/TodoItemsController.cs
@@ -1,9 +1,8 @@
 using Microsoft.AspNetCore.Mvc;
-using Microsoft.EntityFrameworkCore;
 using System.Collections.Generic;
-using System.Linq;
 using System.Threading.Tasks;
-using TodoApi.Models;
+using TodoApiDTO.BLL;
+using TodoApiDTO.Models;
 
 namespace TodoApi.Controllers
 {
@@ -11,32 +10,24 @@ namespace TodoApi.Controllers
     [ApiController]
     public class TodoItemsController : ControllerBase
     {
-        private readonly TodoContext _context;
+        private readonly ITodoItemManager _todoManager;
 
-        public TodoItemsController(TodoContext context)
+        public TodoItemsController(ITodoItemManager todoManager)
         {
-            _context = context;
+            _todoManager = todoManager;
         }
 
         [HttpGet]
         public async Task<ActionResult<IEnumerable<TodoItemDTO>>> GetTodoItems()
         {
-            return await _context.TodoItems
-                .Select(x => ItemToDTO(x))
-                .ToListAsync();
+            return Ok(await _todoManager.GetAllTodoItems());
         }
 
         [HttpGet("{id}")]
         public async Task<ActionResult<TodoItemDTO>> GetTodoItem(long id)
         {
-            var todoItem = await _context.TodoItems.FindAsync(id);
-
-            if (todoItem == null)
-            {
-                return NotFound();
-            }
-
-            return ItemToDTO(todoItem);
+            var todoItem = await _todoManager.GetTodoItemById(id);
+            return Ok(todoItem);
         }
 
         [HttpPut("{id}")]
@@ -47,23 +38,7 @@ public async Task<IActionResult> UpdateTodoItem(long id, TodoItemDTO todoItemDTO
                 return BadRequest();
             }
 
-            var todoItem = await _context.TodoItems.FindAsync(id);
-            if (todoItem == null)
-            {
-                return NotFound();
-            }
-
-            todoItem.Name = todoItemDTO.Name;
-            todoItem.IsComplete = todoItemDTO.IsComplete;
-
-            try
-            {
-                await _context.SaveChangesAsync();
-            }
-            catch (DbUpdateConcurrencyException) when (!TodoItemExists(id))
-            {
-                return NotFound();
-            }
+            await _todoManager.UpdateTodoItem(id, todoItemDTO);
 
             return NoContent();
         }
@@ -71,46 +46,19 @@ public async Task<IActionResult> UpdateTodoItem(long id, TodoItemDTO todoItemDTO
         [HttpPost]
         public async Task<ActionResult<TodoItemDTO>> CreateTodoItem(TodoItemDTO todoItemDTO)
         {
-            var todoItem = new TodoItem
-            {
-                IsComplete = todoItemDTO.IsComplete,
-                Name = todoItemDTO.Name
-            };
-
-            _context.TodoItems.Add(todoItem);
-            await _context.SaveChangesAsync();
+            var createdTodoItem = await _todoManager.Create(todoItemDTO);
 
             return CreatedAtAction(
                 nameof(GetTodoItem),
-                new { id = todoItem.Id },
-                ItemToDTO(todoItem));
+                new { id = createdTodoItem.Id },
+                createdTodoItem);
         }
 
         [HttpDelete("{id}")]
         public async Task<IActionResult> DeleteTodoItem(long id)
         {
-            var todoItem = await _context.TodoItems.FindAsync(id);
-
-            if (todoItem == null)
-            {
-                return NotFound();
-            }
-
-            _context.TodoItems.Remove(todoItem);
-            await _context.SaveChangesAsync();
-
+            await _todoManager.DeleteTodoItem(id);
             return NoContent();
         }
-
-        private bool TodoItemExists(long id) =>
-             _context.TodoItems.Any(e => e.Id == id);
-
-        private static TodoItemDTO ItemToDTO(TodoItem todoItem) =>
-            new TodoItemDTO
-            {
-                Id = todoItem.Id,
-                Name = todoItem.Name,
-                IsComplete = todoItem.IsComplete
-            };       
     }
 }
diff --git a/DAL/Repositories/ITodoItemRepository.cs b/DAL/Repositories/ITodoItemRepository.cs
new file mode 100644
index 00000000..17302a48
--- /dev/null
+++ b/DAL/Repositories/ITodoItemRepository.cs
@@ -0,0 +1,16 @@
+using System.Collections.Generic;
+using System.Threading.Tasks;
+using TodoApi.Models;
+
+namespace TodoApiDTO.DAL.Repositories
+{
+    public interface ITodoItemRepository
+    {
+        public Task<List<TodoItem>> GetAll();
+        public Task<TodoItem> GetById(long todoItemId);
+        public Task Create(TodoItem newItem);
+
+        public void Delete(TodoItem item);
+        Task SaveAsync();
+    }
+}
diff --git a/DAL/Repositories/TodoItemRepository.cs b/DAL/Repositories/TodoItemRepository.cs
new file mode 100644
index 00000000..48074faf
--- /dev/null
+++ b/DAL/Repositories/TodoItemRepository.cs
@@ -0,0 +1,42 @@
+using Microsoft.EntityFrameworkCore;
+using System.Collections.Generic;
+using System.Threading.Tasks;
+using TodoApi.Models;
+
+namespace TodoApiDTO.DAL.Repositories
+{
+    public class TodoItemRepository : ITodoItemRepository
+    {
+        private readonly TodoContext _context;
+
+        public TodoItemRepository(TodoContext context)
+        {
+            _context = context;
+        }
+
+        public async Task<List<TodoItem>> GetAll()
+        {
+            return await _context.TodoItems.ToListAsync();
+        }
+
+        public async Task<TodoItem> GetById(long todoItemId)
+        {
+            return await _context.TodoItems.FirstOrDefaultAsync(x => x.Id == todoItemId);
+        }
+
+        public async Task Create(TodoItem todoItem)
+        {
+            await _context.TodoItems.AddAsync(todoItem);
+        }
+
+        public void Delete(TodoItem todoItem)
+        {
+            _context.TodoItems.Remove(todoItem);
+        }
+
+        public async Task SaveAsync()
+        {
+            await _context.SaveChangesAsync();
+        }
+    }
+}
diff --git a/Models/TodoContext.cs b/DAL/TodoContext.cs
similarity index 85%
rename from Models/TodoContext.cs
rename to DAL/TodoContext.cs
index 6e59e363..e5fa5d62 100644
--- a/Models/TodoContext.cs
+++ b/DAL/TodoContext.cs
@@ -1,6 +1,7 @@
 using Microsoft.EntityFrameworkCore;
+using TodoApi.Models;
 
-namespace TodoApi.Models
+namespace TodoApiDTO.DAL
 {
     public class TodoContext : DbContext
     {
diff --git a/ErrorHandlerMiddleware.cs b/ErrorHandlerMiddleware.cs
new file mode 100644
index 00000000..f0be3c65
--- /dev/null
+++ b/ErrorHandlerMiddleware.cs
@@ -0,0 +1,46 @@
+using Microsoft.AspNetCore.Mvc.Filters;
+using Microsoft.AspNetCore.Mvc;
+using Microsoft.Extensions.Hosting;
+using Microsoft.AspNetCore.Http;
+using Microsoft.Extensions.Logging;
+using System.ComponentModel.DataAnnotations;
+using System.Net;
+using System.Threading.Tasks;
+using System;
+using TodoApiDTO.BLL.Exceptions;
+
+namespace TodoApiDTO
+{
+    public class ErrorHandlerMiddleware
+    {
+        private readonly RequestDelegate _next;
+        private readonly ILogger<ErrorHandlerMiddleware> _logger;
+
+        public ErrorHandlerMiddleware(RequestDelegate next, ILogger<ErrorHandlerMiddleware> logger)
+        {
+            _next = next;
+            _logger = logger;
+        }
+
+        public async Task Invoke(HttpContext context)
+        {
+            try
+            {
+                await _next(context);
+            }
+            catch (Exception error)
+            {
+                _logger.LogError(error, string.Empty);
+                var response = context.Response;
+                if (error is EntityNotFoundException)
+                {
+                    response.StatusCode = (int)HttpStatusCode.NotFound;
+                }
+                else
+                {
+                    response.StatusCode = (int)HttpStatusCode.InternalServerError;
+                }
+            }
+        }
+    }
+}
diff --git a/Models/TodoItemDTO.cs b/Models/TodoItemDTO.cs
index e66a500a..19cc2d88 100644
--- a/Models/TodoItemDTO.cs
+++ b/Models/TodoItemDTO.cs
@@ -1,4 +1,4 @@
-namespace TodoApi.Models
+namespace TodoApiDTO.Models
 {
     #region snippet
     public class TodoItemDTO
diff --git a/Program.cs b/Program.cs
index b27ac16a..d7c9b7a1 100644
--- a/Program.cs
+++ b/Program.cs
@@ -6,6 +6,9 @@
 using Microsoft.Extensions.Configuration;
 using Microsoft.Extensions.Hosting;
 using Microsoft.Extensions.Logging;
+using NLog;
+using NLog.Web;
+using LogLevel = Microsoft.Extensions.Logging.LogLevel;
 
 namespace TodoApi
 {
@@ -13,7 +16,9 @@ public class Program
     {
         public static void Main(string[] args)
         {
+            LogManager.Setup().LoadConfigurationFromAppSettings();
             CreateHostBuilder(args).Build().Run();
+            LogManager.Shutdown();
         }
 
         public static IHostBuilder CreateHostBuilder(string[] args) =>
@@ -21,6 +26,12 @@ public static IHostBuilder CreateHostBuilder(string[] args) =>
                 .ConfigureWebHostDefaults(webBuilder =>
                 {
                     webBuilder.UseStartup<Startup>();
-                });
+                })
+                .ConfigureLogging(logging =>
+                    {
+                        logging.ClearProviders();
+                        logging.SetMinimumLevel(LogLevel.Information);
+                    }
+                ).UseNLog();
     }
 }
diff --git a/Properties/launchSettings.json b/Properties/launchSettings.json
index 6766196a..1b835ad0 100644
--- a/Properties/launchSettings.json
+++ b/Properties/launchSettings.json
@@ -21,7 +21,8 @@
       "environmentVariables": {
         "ASPNETCORE_ENVIRONMENT": "Development"
       },
-      "applicationUrl": "https://localhost:5001;http://localhost:5000"
+      "applicationUrl": "https://localhost:5001;http://localhost:5000",
+      "launchUrl": "https://localhost:5001/swagger/index.html"
     }
   }
 }
\ No newline at end of file
diff --git a/Startup.cs b/Startup.cs
index bbfbc83d..59e9dba4 100644
--- a/Startup.cs
+++ b/Startup.cs
@@ -11,7 +11,10 @@
 using Microsoft.Extensions.DependencyInjection;
 using Microsoft.Extensions.Hosting;
 using Microsoft.Extensions.Logging;
-using TodoApi.Models;
+using TodoApiDTO;
+using TodoApiDTO.BLL;
+using TodoApiDTO.DAL;
+using TodoApiDTO.DAL.Repositories;
 
 namespace TodoApi
 {
@@ -28,16 +31,24 @@ public Startup(IConfiguration configuration)
         public void ConfigureServices(IServiceCollection services)
         {
             services.AddDbContext<TodoContext>(opt =>
-               opt.UseInMemoryDatabase("TodoList"));
+                opt.UseSqlServer(Configuration.GetConnectionString(Environment.MachineName)));
             services.AddControllers();
+            services.AddSwaggerGen();
+
+            services.AddTransient<ITodoItemRepository, TodoItemRepository>();
+            services.AddTransient<ITodoItemManager, TodoItemManager>();
         }
 
         // This method gets called by the runtime. Use this method to configure the HTTP request pipeline.
         public void Configure(IApplicationBuilder app, IWebHostEnvironment env)
         {
+            EnsureDbCreated(app);
+
             if (env.IsDevelopment())
             {
                 app.UseDeveloperExceptionPage();
+                app.UseSwagger();
+                app.UseSwaggerUI();
             }
 
             app.UseHttpsRedirection();
@@ -46,10 +57,19 @@ public void Configure(IApplicationBuilder app, IWebHostEnvironment env)
 
             app.UseAuthorization();
 
+            app.UseMiddleware<ErrorHandlerMiddleware>();
+
             app.UseEndpoints(endpoints =>
             {
                 endpoints.MapControllers();
             });
         }
+
+        private static void EnsureDbCreated(IApplicationBuilder app)
+        {
+            using var serviceScope = app.ApplicationServices.GetService<IServiceScopeFactory>().CreateScope();
+            var context = serviceScope.ServiceProvider.GetRequiredService<TodoContext>();
+            context.Database.EnsureCreated();
+        }
     }
 }
diff --git a/TodoApiDTO.csproj b/TodoApiDTO.csproj
index bba6f6af..ab0d14af 100644
--- a/TodoApiDTO.csproj
+++ b/TodoApiDTO.csproj
@@ -12,6 +12,8 @@
     <PackageReference Include="Microsoft.EntityFrameworkCore.InMemory" Version="3.1.0" />
     <PackageReference Include="Microsoft.EntityFrameworkCore.SqlServer" Version="3.1.0" />
     <PackageReference Include="Microsoft.VisualStudio.Web.CodeGeneration.Design" Version="3.1.0" />
+    <PackageReference Include="NLog.Web.AspNetCore" Version="5.3.0" />
+    <PackageReference Include="Swashbuckle.AspNetCore" Version="6.5.0" />
   </ItemGroup>
 
 
diff --git a/appsettings.json b/appsettings.json
index d9d9a9bf..0c389937 100644
--- a/appsettings.json
+++ b/appsettings.json
@@ -6,5 +6,35 @@
       "Microsoft.Hosting.Lifetime": "Information"
     }
   },
-  "AllowedHosts": "*"
+  "AllowedHosts": "*",
+  "ConnectionStrings": {
+    "DESKTOP-OQH3EOQ": "Data Source=DESKTOP-OQH3EOQ;Initial Catalog=VelvetechTestTask;Integrated Security=True;"
+  },
+  "NLog": {
+    "internalLogLevel": "Info",
+    "internalLogFile": "c:\\temp\\internal-nlog.txt",
+    "extensions": [
+      { "assembly": "NLog.Extensions.Logging" },
+      { "assembly": "NLog.Web.AspNetCore" }
+    ],
+    "targets": {
+      "errors": {
+        "type": "File",
+        "fileName": "${basedir}\\errors-${shortdate}.log",
+        "layout": "${longdate}|${event-properties:item=EventId_Id}|${uppercase:${level}}|${logger}|${message} ${exception:format=tostring}"
+      }
+    },
+    "rules": [
+      {
+        "logger": "*",
+        "minLevel": "Error",
+        "writeTo": "errors"
+      },
+      {
+        "logger": "Microsoft.*",
+        "maxLevel": "Info",
+        "final": "true"
+      }
+    ]
+  }
 }