diff --git a/Makefile b/Makefile
index 349d3ce59..6f99f95d6 100644
--- a/Makefile
+++ b/Makefile
@@ -1,14 +1,18 @@
 .PHONY: all
 
+PREFIX = '/usr/local'
+
 all:
 	@ echo "Building escript..."
 	@ rebar3 escriptize
 	@ rebar3 as dap escriptize
 
+.PHONY: install
 install: all
 	@ echo "Installing escript..."
-	@ cp _build/default/bin/erlang_ls /usr/local/bin
-	@ cp _build/dap/bin/els_dap /usr/local/bin
+	@ mkdir -p '${PREFIX}/bin'
+	@ cp _build/default/bin/erlang_ls ${PREFIX}/bin
+	@ cp _build/dap/bin/els_dap ${PREFIX}/bin
 
 .PHONY: clean
 clean:
diff --git a/README.md b/README.md
index 7c314c25b..09c64eb78 100644
--- a/README.md
+++ b/README.md
@@ -22,6 +22,10 @@ To install the produced `erlang_ls` escript in `/usr/local/bin`:
 
     make install
 
+To install to a different directory set the `PREFIX` environment variable:
+
+    PREFIX=/path/to/directory make -e install
+
 ## Command-line Arguments
 
 These are the command-line arguments that can be provided to the