diff --git a/pkgs/clan-cli/.envrc b/pkgs/clan-cli/.envrc
index 179c25fd..c7f80b55 100644
--- a/pkgs/clan-cli/.envrc
+++ b/pkgs/clan-cli/.envrc
@@ -1,7 +1,7 @@
 # BUG: If this is enabled the devshell depends on clan_cli building successfully
 # source_up
 
-watch_file flake-module.nix default.nix
+watch_file flake-module.nix shell.nix default.nix
 
 # Because we depend on nixpkgs sources, uploading to builders takes a long time
 use flake .#clan-cli --builders ''
diff --git a/pkgs/clan-cli/shell.nix b/pkgs/clan-cli/shell.nix
index f0ca91b5..1009e002 100644
--- a/pkgs/clan-cli/shell.nix
+++ b/pkgs/clan-cli/shell.nix
@@ -24,6 +24,7 @@ mkShell {
   shellHook = ''
     export PATH=$(pwd)/bin:$PATH
 
+    # Needed for impure tests
     ln -sfT ${clan-cli.nixpkgs} clan_cli/nixpkgs
   '';
 }
diff --git a/pkgs/clan-vm-manager/.envrc b/pkgs/clan-vm-manager/.envrc
index 3a9c84ad..af1ef143 100644
--- a/pkgs/clan-vm-manager/.envrc
+++ b/pkgs/clan-vm-manager/.envrc
@@ -1,7 +1,7 @@
 # See comment in clan-cli/.envrc
 # source_up
 
-watch_file flake-module.nix default.nix
+watch_file flake-module.nix shell.nix default.nix
 
 # Because we depend on nixpkgs sources, uploading to builders takes a long time
 use flake .#clan-vm-manager --builders ''
diff --git a/pkgs/clan-vm-manager/default.nix b/pkgs/clan-vm-manager/default.nix
index 32ec5232..1fe26b46 100644
--- a/pkgs/clan-vm-manager/default.nix
+++ b/pkgs/clan-vm-manager/default.nix
@@ -45,16 +45,16 @@ let
   runtimeDependencies = [ ];
 
   # Dependencies required for running tests
-  testDependencies =
-    runtimeDependencies
-    ++ allPythonDeps
-    ++ [
-      pytest # Testing framework
-      pytest-cov # Generate coverage reports
-      pytest-subprocess # fake the real subprocess behavior to make your tests more independent.
-      pytest-xdist # Run tests in parallel on multiple cores
-      pytest-timeout # Add timeouts to your tests
-    ];
+  externalTestDeps = [
+    pytest # Testing framework
+    pytest-cov # Generate coverage reports
+    pytest-subprocess # fake the real subprocess behavior to make your tests more independent.
+    pytest-xdist # Run tests in parallel on multiple cores
+    pytest-timeout # Add timeouts to your tests
+  ];
+
+  # Dependencies required for running tests
+  testDependencies = runtimeDependencies ++ allPythonDeps ++ externalTestDeps;
 
   # Setup Python environment with all dependencies for running tests
   pythonWithTestDeps = python3.withPackages (_ps: testDependencies);
@@ -114,8 +114,9 @@ python3.pkgs.buildPythonApplication rec {
   # Additional pass-through attributes
   passthru.desktop-file = desktop-file;
   passthru.externalPythonDeps = externalPythonDeps;
-  passthru.testDependencies = testDependencies;
+  passthru.externalTestDeps = externalTestDeps;
   passthru.runtimeDependencies = runtimeDependencies;
+  passthru.testDependencies = testDependencies;
 
   # Don't leak python packages into a devshell.
   # It can be very confusing if you `nix run` than load the cli from the devshell instead.
diff --git a/pkgs/clan-vm-manager/shell.nix b/pkgs/clan-vm-manager/shell.nix
index 48b8d10a..50a7665a 100644
--- a/pkgs/clan-vm-manager/shell.nix
+++ b/pkgs/clan-vm-manager/shell.nix
@@ -14,7 +14,9 @@
 
 let
   devshellTestDeps =
-    clan-vm-manager.testDependencies
+    clan-vm-manager.externalPythonDeps
+    ++ clan-vm-manager.externalTestDeps
+    ++ clan-vm-manager.runtimeDependencies
     ++ (with python3.pkgs; [
       rope
       mypy
@@ -42,5 +44,8 @@ mkShell {
 
   shellHook = ''
     export PATH=$(pwd)/bin:$PATH
+
+    # Add clan-cli to the python path so that we can import it without building it in nix first
+    export PYTHONPATH=$(pwd)/../clan-cli:$PYTHONPATH
   '';
 }