diff --git a/app/build.gradle b/app/build.gradle
index b6c4bef9dc..b23806d207 100644
--- a/app/build.gradle
+++ b/app/build.gradle
@@ -213,6 +213,8 @@ dependencies {
     implementation libs.androidx.ui.tooling.preview.android
     stagingImplementation libs.androidx.ui.test.manifest
     testImplementation libs.androidx.ui.test.junit4
+    implementation libs.androidx.navigation.compose
+    implementation libs.androidx.hilt.navigation.compose
 
     // Images
     implementation libs.glide
diff --git a/app/src/main/java/org/groundplatform/android/ui/components/LoadingDialog.kt b/app/src/main/java/org/groundplatform/android/ui/components/LoadingDialog.kt
new file mode 100644
index 0000000000..69660243eb
--- /dev/null
+++ b/app/src/main/java/org/groundplatform/android/ui/components/LoadingDialog.kt
@@ -0,0 +1,65 @@
+/*
+ * Copyright 2026 Google LLC
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     https://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+package org.groundplatform.android.ui.components
+
+import androidx.compose.foundation.layout.Row
+import androidx.compose.foundation.layout.Spacer
+import androidx.compose.foundation.layout.padding
+import androidx.compose.foundation.layout.size
+import androidx.compose.foundation.layout.width
+import androidx.compose.material3.CircularProgressIndicator
+import androidx.compose.material3.MaterialTheme
+import androidx.compose.material3.Surface
+import androidx.compose.material3.Text
+import androidx.compose.runtime.Composable
+import androidx.compose.ui.Alignment
+import androidx.compose.ui.Modifier
+import androidx.compose.ui.res.stringResource
+import androidx.compose.ui.tooling.preview.Preview
+import androidx.compose.ui.unit.dp
+import androidx.compose.ui.window.Dialog
+import org.groundplatform.android.R
+import org.groundplatform.android.ui.common.ExcludeFromJacocoGeneratedReport
+import org.groundplatform.android.ui.theme.AppTheme
+import org.groundplatform.android.ui.theme.sizes
+
+@Composable
+fun LoadingDialog(messageId: Int) {
+  Dialog(onDismissRequest = {}) {
+    Surface(
+      shape = MaterialTheme.shapes.medium,
+      color = MaterialTheme.colorScheme.surface,
+      tonalElevation = 4.dp,
+    ) {
+      Row(modifier = Modifier.padding(24.dp), verticalAlignment = Alignment.CenterVertically) {
+        CircularProgressIndicator(
+          modifier = Modifier.size(MaterialTheme.sizes.progressIndicatorSize),
+          color = MaterialTheme.colorScheme.primary,
+          strokeWidth = MaterialTheme.sizes.progressIndicatorStrokeWidth,
+        )
+        Spacer(modifier = Modifier.width(20.dp))
+        Text(text = stringResource(messageId), style = MaterialTheme.typography.bodyLarge)
+      }
+    }
+  }
+}
+
+@Composable
+@ExcludeFromJacocoGeneratedReport
+@Preview(showBackground = true)
+private fun PreviewLoadingDialog() {
+  AppTheme { LoadingDialog(R.string.loading) }
+}
diff --git a/app/src/main/java/org/groundplatform/android/ui/startup/StartupFragment.kt b/app/src/main/java/org/groundplatform/android/ui/startup/StartupFragment.kt
index 3dba891313..a8283b38ae 100644
--- a/app/src/main/java/org/groundplatform/android/ui/startup/StartupFragment.kt
+++ b/app/src/main/java/org/groundplatform/android/ui/startup/StartupFragment.kt
@@ -19,29 +19,19 @@ import android.os.Bundle
 import android.view.LayoutInflater
 import android.view.View
 import android.view.ViewGroup
-import androidx.compose.foundation.layout.Box
-import androidx.compose.foundation.layout.fillMaxSize
-import androidx.compose.ui.Modifier
 import androidx.compose.ui.platform.ComposeView
 import androidx.compose.ui.platform.ViewCompositionStrategy
-import androidx.fragment.app.viewModels
-import androidx.lifecycle.lifecycleScope
-import com.google.android.gms.common.GooglePlayServicesNotAvailableException
 import dagger.hilt.android.AndroidEntryPoint
 import javax.inject.Inject
-import kotlinx.coroutines.launch
-import org.groundplatform.android.R
 import org.groundplatform.android.ui.common.AbstractFragment
 import org.groundplatform.android.ui.common.EphemeralPopups
-import timber.log.Timber
+import org.groundplatform.android.ui.theme.AppTheme
 
 @AndroidEntryPoint
 class StartupFragment : AbstractFragment() {
 
   @Inject lateinit var popups: EphemeralPopups
 
-  private val viewModel: StartupViewModel by viewModels()
-
   override fun onCreateView(
     inflater: LayoutInflater,
     container: ViewGroup?,
@@ -49,29 +39,15 @@ class StartupFragment : AbstractFragment() {
   ): View =
     ComposeView(requireContext()).apply {
       setViewCompositionStrategy(ViewCompositionStrategy.DisposeOnViewTreeLifecycleDestroyed)
-      setContent { Box(modifier = Modifier.fillMaxSize()) }
-    }
-
-  override fun onViewCreated(view: View, savedInstanceState: Bundle?) {
-    super.onViewCreated(view, savedInstanceState)
-
-    viewLifecycleOwner.lifecycleScope.launch {
-      showProgressDialog(R.string.initializing)
-      try {
-        viewModel.initializeLogin()
-      } catch (t: Throwable) {
-        onInitFailed(t)
-      } finally {
-        dismissProgressDialog()
+      setContent {
+        AppTheme {
+          StartupScreen(
+            onLoadFailed = { errorMessageId ->
+              errorMessageId?.let { popups.ErrorPopup().show(it) }
+              requireActivity().finish()
+            }
+          )
+        }
       }
     }
-  }
-
-  private fun onInitFailed(t: Throwable) {
-    Timber.e(t, "Failed to launch app")
-    if (t is GooglePlayServicesNotAvailableException) {
-      popups.ErrorPopup().show(R.string.google_api_install_failed)
-    }
-    requireActivity().finish()
-  }
 }
diff --git a/app/src/main/java/org/groundplatform/android/ui/startup/StartupScreen.kt b/app/src/main/java/org/groundplatform/android/ui/startup/StartupScreen.kt
new file mode 100644
index 0000000000..11b1fc4007
--- /dev/null
+++ b/app/src/main/java/org/groundplatform/android/ui/startup/StartupScreen.kt
@@ -0,0 +1,47 @@
+/*
+ * Copyright 2026 Google LLC
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     https://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+package org.groundplatform.android.ui.startup
+
+import androidx.compose.foundation.layout.Box
+import androidx.compose.foundation.layout.fillMaxSize
+import androidx.compose.runtime.Composable
+import androidx.compose.runtime.getValue
+import androidx.compose.ui.Modifier
+import androidx.hilt.navigation.compose.hiltViewModel
+import androidx.lifecycle.compose.collectAsStateWithLifecycle
+import org.groundplatform.android.R
+import org.groundplatform.android.ui.components.LoadingDialog
+
+/**
+ * Displays the startup screen and handles initial application setup.
+ *
+ * @param onLoadFailed callback invoked when the startup initialization process fails.
+ * @param viewModel the [StartupViewModel] responsible for managing the startup state.
+ */
+@Composable
+fun StartupScreen(
+  onLoadFailed: (errorMessageId: Int?) -> Unit,
+  viewModel: StartupViewModel = hiltViewModel(),
+) {
+  val state by viewModel.state.collectAsStateWithLifecycle()
+
+  Box(modifier = Modifier.fillMaxSize()) {
+    when (state) {
+      is StartupState.Loading -> LoadingDialog(messageId = R.string.initializing)
+      is StartupState.Error -> onLoadFailed((state as StartupState.Error).errorMessageId)
+    }
+  }
+}
diff --git a/app/src/main/java/org/groundplatform/android/ui/startup/StartupViewModel.kt b/app/src/main/java/org/groundplatform/android/ui/startup/StartupViewModel.kt
index 5654e27485..dac021c575 100644
--- a/app/src/main/java/org/groundplatform/android/ui/startup/StartupViewModel.kt
+++ b/app/src/main/java/org/groundplatform/android/ui/startup/StartupViewModel.kt
@@ -15,23 +15,58 @@
  */
 package org.groundplatform.android.ui.startup
 
+import androidx.annotation.StringRes
+import androidx.lifecycle.viewModelScope
+import com.google.android.gms.common.GooglePlayServicesNotAvailableException
 import dagger.hilt.android.lifecycle.HiltViewModel
 import javax.inject.Inject
+import kotlinx.coroutines.flow.MutableStateFlow
+import kotlinx.coroutines.flow.StateFlow
+import kotlinx.coroutines.flow.asStateFlow
+import kotlinx.coroutines.launch
+import org.groundplatform.android.R
 import org.groundplatform.android.repository.UserRepository
 import org.groundplatform.android.system.GoogleApiManager
 import org.groundplatform.android.ui.common.AbstractViewModel
+import org.groundplatform.android.ui.common.EphemeralPopups
+import timber.log.Timber
 
+/** Represents the different states the application can be in during its initial startup flow. */
+sealed interface StartupState {
+  data object Loading : StartupState
+
+  data class Error(@StringRes val errorMessageId: Int?) : StartupState
+}
+
+/** ViewModel responsible for the initial app startup flow. */
 @HiltViewModel
 class StartupViewModel
 @Inject
 internal constructor(
   private val googleApiManager: GoogleApiManager,
   private val userRepository: UserRepository,
+  val popups: EphemeralPopups,
 ) : AbstractViewModel() {
 
-  /** Initializes the login flow, installing Google Play Services if necessary. */
-  suspend fun initializeLogin() {
-    googleApiManager.installGooglePlayServices()
-    userRepository.init()
+  private val _state = MutableStateFlow<StartupState>(StartupState.Loading)
+  val state: StateFlow<StartupState> = _state.asStateFlow()
+
+  init {
+    viewModelScope.launch {
+      try {
+        googleApiManager.installGooglePlayServices()
+        userRepository.init()
+      } catch (t: Throwable) {
+        Timber.e(t, "Failed to launch app")
+        _state.value = StartupState.Error(getErrorMessageId(t))
+      }
+    }
+  }
+
+  private fun getErrorMessageId(throwable: Throwable): Int? {
+    if (throwable is GooglePlayServicesNotAvailableException) {
+      return R.string.google_api_install_failed
+    }
+    return null
   }
 }
diff --git a/app/src/main/java/org/groundplatform/android/ui/theme/Size.kt b/app/src/main/java/org/groundplatform/android/ui/theme/Size.kt
index 76e159a70e..8b6706b0fa 100644
--- a/app/src/main/java/org/groundplatform/android/ui/theme/Size.kt
+++ b/app/src/main/java/org/groundplatform/android/ui/theme/Size.kt
@@ -23,7 +23,13 @@ import androidx.compose.runtime.compositionLocalOf
 import androidx.compose.ui.unit.Dp
 import androidx.compose.ui.unit.dp
 
-@Immutable data class Size(val jobActionButtonSize: Dp = 80.dp, val jobActionIconSize: Dp = 36.dp)
+@Immutable
+data class Size(
+  val jobActionButtonSize: Dp = 80.dp,
+  val jobActionIconSize: Dp = 36.dp,
+  val progressIndicatorSize: Dp = 24.dp,
+  val progressIndicatorStrokeWidth: Dp = 2.dp,
+)
 
 internal val LocalSizes = compositionLocalOf { Size() }
 
diff --git a/app/src/test/java/org/groundplatform/android/ui/startup/StartupScreenTest.kt b/app/src/test/java/org/groundplatform/android/ui/startup/StartupScreenTest.kt
new file mode 100644
index 0000000000..21187394bb
--- /dev/null
+++ b/app/src/test/java/org/groundplatform/android/ui/startup/StartupScreenTest.kt
@@ -0,0 +1,62 @@
+/*
+ * Copyright 2026 Google LLC
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     https://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+package org.groundplatform.android.ui.startup
+
+import androidx.compose.ui.test.onNodeWithText
+import com.google.common.truth.Truth.assertThat
+import dagger.hilt.android.testing.HiltAndroidTest
+import kotlinx.coroutines.flow.MutableStateFlow
+import org.groundplatform.android.BaseHiltTest
+import org.groundplatform.android.R
+import org.junit.Test
+import org.junit.runner.RunWith
+import org.mockito.Mock
+import org.mockito.kotlin.whenever
+import org.robolectric.RobolectricTestRunner
+import org.robolectric.RuntimeEnvironment
+
+@HiltAndroidTest
+@RunWith(RobolectricTestRunner::class)
+class StartupScreenTest : BaseHiltTest() {
+
+  @Mock private lateinit var mockViewModel: StartupViewModel
+
+  @Test
+  fun `Loading state shows loading dialog`() {
+    setState(StartupState.Loading)
+
+    composeTestRule.setContent { StartupScreen(onLoadFailed = {}, viewModel = mockViewModel) }
+
+    val loadingText = RuntimeEnvironment.getApplication().getString(R.string.initializing)
+    composeTestRule.onNodeWithText(loadingText).assertExists()
+  }
+
+  @Test
+  fun `Error state invokes onLoadFailed`() {
+    var onLoadFailedCalled = false
+    setState(StartupState.Error(null))
+
+    composeTestRule.setContent {
+      StartupScreen(onLoadFailed = { onLoadFailedCalled = true }, viewModel = mockViewModel)
+    }
+
+    assertThat(onLoadFailedCalled).isTrue()
+  }
+
+  private fun setState(state: StartupState) {
+    whenever(mockViewModel.state).thenReturn(MutableStateFlow(state))
+  }
+}
diff --git a/app/src/test/java/org/groundplatform/android/ui/startup/StartupViewModelTest.kt b/app/src/test/java/org/groundplatform/android/ui/startup/StartupViewModelTest.kt
new file mode 100644
index 0000000000..e844316eed
--- /dev/null
+++ b/app/src/test/java/org/groundplatform/android/ui/startup/StartupViewModelTest.kt
@@ -0,0 +1,80 @@
+/*
+ * Copyright 2026 Google LLC
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     https://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+package org.groundplatform.android.ui.startup
+
+import app.cash.turbine.test
+import com.google.common.truth.Truth.assertThat
+import dagger.hilt.android.testing.HiltAndroidTest
+import kotlinx.coroutines.ExperimentalCoroutinesApi
+import org.groundplatform.android.BaseHiltTest
+import org.groundplatform.android.repository.UserRepository
+import org.groundplatform.android.system.GoogleApiManager
+import org.groundplatform.android.ui.common.EphemeralPopups
+import org.junit.Test
+import org.junit.runner.RunWith
+import org.mockito.Mock
+import org.mockito.kotlin.whenever
+import org.robolectric.RobolectricTestRunner
+
+@OptIn(ExperimentalCoroutinesApi::class)
+@HiltAndroidTest
+@RunWith(RobolectricTestRunner::class)
+class StartupViewModelTest : BaseHiltTest() {
+
+  @Mock private lateinit var googleApiManager: GoogleApiManager
+  @Mock private lateinit var userRepository: UserRepository
+  @Mock private lateinit var popups: EphemeralPopups
+
+  private lateinit var viewModel: StartupViewModel
+
+  @Test
+  fun `init success`() = runWithTestDispatcher {
+    viewModel = StartupViewModel(googleApiManager, userRepository, popups)
+
+    viewModel.state.test {
+      assertThat(awaitItem()).isEqualTo(StartupState.Loading)
+      expectNoEvents()
+    }
+  }
+
+  @Test
+  fun `init fails from GoogleApiManager with other exception`() = runWithTestDispatcher {
+    val exception = RuntimeException("some other error")
+    whenever(googleApiManager.installGooglePlayServices()).thenThrow(exception)
+
+    viewModel = StartupViewModel(googleApiManager, userRepository, popups)
+
+    viewModel.state.test {
+      val errorState = awaitItem()
+      assertThat(errorState).isInstanceOf(StartupState.Error::class.java)
+      assertThat((errorState as StartupState.Error).errorMessageId).isNull()
+    }
+  }
+
+  @Test
+  fun `init fails from UserRepository`() = runWithTestDispatcher {
+    val exception = RuntimeException("user repo error")
+    whenever(userRepository.init()).thenThrow(exception)
+
+    viewModel = StartupViewModel(googleApiManager, userRepository, popups)
+
+    viewModel.state.test {
+      val errorState = awaitItem()
+      assertThat(errorState).isInstanceOf(StartupState.Error::class.java)
+      assertThat((errorState as StartupState.Error).errorMessageId).isNull()
+    }
+  }
+}
diff --git a/gradle/libs.versions.toml b/gradle/libs.versions.toml
index dacb453a06..925389e808 100644
--- a/gradle/libs.versions.toml
+++ b/gradle/libs.versions.toml
@@ -82,6 +82,7 @@ androidx-core-testing = { module = "androidx.arch.core:core-testing", version.re
 androidx-espresso-contrib = { module = "androidx.test.espresso:espresso-contrib", version.ref = "espressoContribVersion" }
 androidx-espresso-core = { module = "androidx.test.espresso:espresso-core", version.ref = "espressoContribVersion" }
 androidx-fragment-testing-manifest = { module = "androidx.fragment:fragment-testing-manifest", version.ref = "fragmentVersion" }
+androidx-hilt-navigation-compose = { module = "androidx.hilt:hilt-navigation-compose", version.ref = "hiltJetpackVersion" }
 androidx-hilt-navigation-fragment = { module = "androidx.hilt:hilt-navigation-fragment", version.ref = "hiltJetpackVersion" }
 androidx-hilt-work = { module = "androidx.hilt:hilt-work", version.ref = "hiltJetpackVersion" }
 androidx-junit = { module = "androidx.test.ext:junit", version.ref = "junitKtx" }
@@ -89,6 +90,7 @@ androidx-lifecycle-runtime-ktx = { module = "androidx.lifecycle:lifecycle-runtim
 androidx-material-icons = { module = "androidx.compose.material:material-icons-core" }
 androidx-material3-android = { module = "androidx.compose.material3:material3-android" }
 androidx-multidex = { module = "androidx.multidex:multidex", version.ref = "multidex" }
+androidx-navigation-compose = { module = "androidx.navigation:navigation-compose", version.ref = "navigationKtxVersion" }
 androidx-navigation-safe-args-gradle-plugin = { module = "androidx.navigation:navigation-safe-args-gradle-plugin", version.ref = "navigationKtxVersion" }
 androidx-navigation-testing = { module = "androidx.navigation:navigation-testing", version.ref = "navigationKtxVersion" }
 androidx-navigation-ui-ktx = { module = "androidx.navigation:navigation-ui-ktx", version.ref = "navigationKtxVersion" }
@@ -179,4 +181,4 @@ ktfmt = { id = "com.ncorti.ktfmt.gradle", version.ref = "ktfmtVersion" }
 hilt-android = { id = "com.google.dagger.hilt.android", version.ref = "hiltVersion" }
 detekt = { id = "io.gitlab.arturbosch.detekt", version.ref = "detektVersion" }
 protobuf = { id = "com.google.protobuf", version.ref = "protobufVersion" }
-room = { id = "androidx.room", version.ref = "roomVersion" }
\ No newline at end of file
+room = { id = "androidx.room", version.ref = "roomVersion" }