diff --git a/lib/compiler/saveOutput.ts b/lib/compiler/saveOutput.ts
index 7db121fc0..eb84c508f 100644
--- a/lib/compiler/saveOutput.ts
+++ b/lib/compiler/saveOutput.ts
@@ -1,7 +1,8 @@
-import {join, dirname} from 'path';
+import {join} from 'path';
 import fs from 'fs';
 import {Config} from '../config/config';
 import {getHumanReadableAbi} from './getHumanReadableAbi';
+import mkdirp from 'mkdirp';
 
 export interface BytecodeJson {
   linkReferences: object;
@@ -27,9 +28,16 @@ export interface ContractJson {
   evm: EvmJson;
 }
 
-export async function saveOutput(output: any, config: Config, filesystem = fs) {
+const fsOps = {
+  createDirectory: mkdirp.sync,
+  writeFile: fs.writeFileSync
+};
+
+export async function saveOutput(output: any, config: Config, filesystem = fsOps) {
   config.outputType = config.outputType || 'multiple';
 
+  filesystem.createDirectory(config.targetPath);
+
   if (['multiple', 'all'].includes(config.outputType)) {
     saveOutputSingletons(output, config, filesystem);
   }
@@ -39,20 +47,16 @@ export async function saveOutput(output: any, config: Config, filesystem = fs) {
   }
 }
 
-export async function saveOutputSingletons(output: any, config: Config, filesystem = fs) {
+async function saveOutputSingletons(output: any, config: Config, filesystem = fsOps) {
   for (const [, file] of Object.entries(output.contracts)) {
     for (const [contractName, contractJson] of Object.entries(file)) {
       const filePath = join(config.targetPath, `${contractName}.json`);
-      const dirPath = dirname(filePath);
-      if (!filesystem.existsSync(dirPath)) {
-        filesystem.mkdirSync(dirPath);
-      }
-      filesystem.writeFileSync(filePath, getContent(contractJson, config));
+      filesystem.writeFile(filePath, getContent(contractJson, config));
     }
   }
 }
 
-export async function saveOutputCombined(output: any, config: Config, filesystem = fs) {
+async function saveOutputCombined(output: any, config: Config, filesystem = fsOps) {
   for (const [key, file] of Object.entries(output.contracts)) {
     for (const [contractName, contractJson] of Object.entries(file)) {
       contractJson.bin = contractJson.evm.bytecode.object;
@@ -75,7 +79,7 @@ export async function saveOutputCombined(output: any, config: Config, filesystem
 
   output.sourceList = allSources;
 
-  filesystem.writeFileSync(
+  filesystem.writeFile(
     join(config.targetPath, 'Combined-Json.json'), JSON.stringify(output, null, 2)
   );
 }
diff --git a/package.json b/package.json
index 5b018db4e..050b00ff5 100644
--- a/package.json
+++ b/package.json
@@ -29,6 +29,7 @@
     "@types/ganache-core": "^2.7.0",
     "ethers": "^4.0.0",
     "ganache-core": "^2.8.0",
+    "mkdirp": "^0.5.1",
     "solc": "^0.5.10"
   },
   "resolutions": {
@@ -39,6 +40,7 @@
     "@types/chai-as-promised": "^7.1.2",
     "@types/chai-string": "^1.4.2",
     "@types/fs-extra": "^8.0.1",
+    "@types/mkdirp": "^0.5.2",
     "@types/mocha": "^5.2.7",
     "@types/sinon": "^7.5.0",
     "@types/sinon-chai": "^3.2.3",
diff --git a/test/compiler/e2e.ts b/test/compiler/e2e.ts
index d0ce298fc..3bc86da7b 100644
--- a/test/compiler/e2e.ts
+++ b/test/compiler/e2e.ts
@@ -30,14 +30,14 @@ const artifacts = [
 describe('E2E: Compiler integration', async () => {
   describe('docker: inside out directory structure', () => {
     before(async () => {
-      fsx.removeSync('test/projects/insideOut/build');
+      fsx.removeSync('test/projects/insideOut/build/nested');
       process.chdir('test/projects/insideOut/main');
     });
 
     it('compile and produce artifacts', async () => {
       await compileProject('config_docker.json');
       for (const artefact of artifacts) {
-        const filePath = join('../build', artefact);
+        const filePath = join('../build/nested', artefact);
         expect(isFile(filePath), `Expected compilation artefact "${filePath}" to exist.`).to.equal(true);
       }
     });
diff --git a/test/compiler/wrappers/saveOutput.ts b/test/compiler/wrappers/saveOutput.ts
index b37c00475..c620984dd 100644
--- a/test/compiler/wrappers/saveOutput.ts
+++ b/test/compiler/wrappers/saveOutput.ts
@@ -10,14 +10,14 @@ const config = {sourcesPath, npmPath, targetPath};
 
 describe('UNIT: saveOutput', () => {
   it('calls the required fs methods', () => {
-    const fs = {
-      writeFileSync: sinon.spy(),
-      existsSync: sinon.spy(),
-      mkdirSync: sinon.spy()
+    const fsOps = {
+      writeFile: sinon.spy(),
+      createDirectory: sinon.spy()
     };
     const output = JSON.parse(readFileContent('./test/compiler/wrappers/compilerOutput.json'));
-    saveOutput(output, config, fs as any);
+    saveOutput(output, config, fsOps);
     const expectedContent = JSON.stringify(output.contracts['One.sol'].One, null, 2);
-    expect(fs.writeFileSync).to.be.calledWith('buildtmp/One.json', expectedContent);
+    expect(fsOps.createDirectory).to.be.calledWith('./buildtmp');
+    expect(fsOps.writeFile).to.be.calledWith('buildtmp/One.json', expectedContent);
   });
 });
diff --git a/test/projects/insideOut/main/config_docker.json b/test/projects/insideOut/main/config_docker.json
index b42843c42..fc1c7375c 100644
--- a/test/projects/insideOut/main/config_docker.json
+++ b/test/projects/insideOut/main/config_docker.json
@@ -1,7 +1,7 @@
 {
   "name": "solidity 5, dokerized solc, inside out directory structure",
   "sourcesPath": "./contracts",
-  "targetPath": "../build",
+  "targetPath": "../build/nested",
   "npmPath": "../modules",
   "compiler": "dockerized-solc"
 }
diff --git a/yarn.lock b/yarn.lock
index 4b56b8c10..6a9de8f9e 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -144,6 +144,13 @@
   resolved "https://registry.yarnpkg.com/@types/json-schema/-/json-schema-7.0.3.tgz#bdfd69d61e464dcc81b25159c270d75a73c1a636"
   integrity sha512-Il2DtDVRGDcqjDtE+rF8iqg1CArehSK84HZJCT7AMITlyXRBpuPhqGLDQMowraqqu1coEaimg4ZOqggt6L6L+A==
 
+"@types/mkdirp@^0.5.2":
+  version "0.5.2"
+  resolved "https://registry.yarnpkg.com/@types/mkdirp/-/mkdirp-0.5.2.tgz#503aacfe5cc2703d5484326b1b27efa67a339c1f"
+  integrity sha512-U5icWpv7YnZYGsN4/cmh3WD2onMY0aJIiTE6+51TwJCttdHvtCYmkBNOobHlXwrJRL0nkH9jH4kD+1FAdMN4Tg==
+  dependencies:
+    "@types/node" "*"
+
 "@types/mocha@^5.2.7":
   version "5.2.7"
   resolved "https://registry.yarnpkg.com/@types/mocha/-/mocha-5.2.7.tgz#315d570ccb56c53452ff8638738df60726d5b6ea"