diff --git a/README.md b/README.md
index ba29751..0b94008 100644
--- a/README.md
+++ b/README.md
@@ -6,9 +6,10 @@ For example:
 
 ```
 $ check-argocd --base-dir=$(pwd) --apps=apps-of-apps,apps --components=components
-INFO 👀 checking Applications and ApplicationSets path=/path/to/apps-of-apps
-INFO 👀 checking Applications and ApplicationSets path=/path/to/apps
-INFO 👀 checking Components path=/path/to/components
+INFO 🏁 Checking Argo CD configuration base-dir=/path/to/repository
+INFO 👀 checking Applications and ApplicationSets path=apps-of-apps
+INFO 👀 checking Applications and ApplicationSets path=apps
+INFO 👀 checking Components path=components
 ```
 
 ## Building
diff --git a/pkg/validation/apps.go b/pkg/validation/apps.go
index 21eadc4..ddef63f 100644
--- a/pkg/validation/apps.go
+++ b/pkg/validation/apps.go
@@ -17,7 +17,7 @@ func CheckApplications(logger Logger, afs afero.Afero, baseDir string, apps ...s
 
 	for _, path := range apps {
 		p := filepath.Join(baseDir, path)
-		logger.Info("👀 checking Applications and ApplicationSets", "path", p)
+		logger.Info("👀 checking Applications and ApplicationSets", "path", path)
 		fsys, err := NewInMemoryFS(logger, afs, p)
 		if err != nil {
 			return err
@@ -29,8 +29,8 @@ func CheckApplications(logger Logger, afs afero.Afero, baseDir string, apps ...s
 			}
 			if info.IsDir() {
 				logger.Debug("👀 checking contents", "path", path)
-				if kp, found := lookupKustomizationFile(logger, afs, path); found {
-					if err := checkKustomizeResources(logger, afs, kp); err != nil {
+				if kpath, found := lookupKustomizationFile(logger, afs, path); found {
+					if err := checkKustomizeResources(logger, afs, baseDir, kpath); err != nil {
 						return err
 					}
 					if info.Name() != "base" {
diff --git a/pkg/validation/components.go b/pkg/validation/components.go
index 1513c0e..37068f4 100644
--- a/pkg/validation/components.go
+++ b/pkg/validation/components.go
@@ -1,7 +1,6 @@
 package validation
 
 import (
-	"fmt"
 	"io/fs"
 	"path/filepath"
 
@@ -14,7 +13,7 @@ func CheckComponents(logger Logger, afs afero.Afero, baseDir string, components
 
 	for _, path := range components {
 		p := filepath.Join(baseDir, path)
-		logger.Info("👀 checking Components", "path", p)
+		logger.Info("👀 checking Components", "path", path)
 		fsys, err := NewInMemoryFS(logger, afs, p)
 		if err != nil {
 			return err
@@ -30,13 +29,13 @@ func CheckComponents(logger Logger, afs afero.Afero, baseDir string, components
 			}
 			// look for a Kustomization file in the directory
 			if kp, found := lookupKustomizationFile(logger, afs, path); found {
-				if err := checkKustomizeResources(logger, afs, kp); err != nil {
-					return fmt.Errorf("invalid resources at %s: %w", path, err)
+				if err := checkKustomizeResources(logger, afs, baseDir, kp); err != nil {
+					return err
 				}
 				if d.Name() != "base" {
 					logger.Debug("checking Kustomization build ", "path", path)
 					if err := checkBuild(logger, fsys, path); err != nil {
-						return fmt.Errorf("invalid resources at %s: %w", path, err)
+						return err
 					}
 				}
 			}
diff --git a/pkg/validation/components_test.go b/pkg/validation/components_test.go
index a2baa53..2f7b84c 100644
--- a/pkg/validation/components_test.go
+++ b/pkg/validation/components_test.go
@@ -330,7 +330,7 @@ data:
 			err = validation.CheckComponents(logger, afs, "/path/to", "components")
 
 			// then
-			require.Error(t, err, "resource is not referenced: /path/to/components/configmap2.yaml")
+			require.EqualError(t, err, "resource is not referenced in components/kustomization.yaml: configmap2.yaml")
 			assert.Empty(t, logger.Errors())
 			assert.Empty(t, logger.Warnings())
 		})
diff --git a/pkg/validation/kustomize_build.go b/pkg/validation/kustomize_build.go
index 7913683..58dbc38 100644
--- a/pkg/validation/kustomize_build.go
+++ b/pkg/validation/kustomize_build.go
@@ -9,9 +9,9 @@ import (
 	kfsys "sigs.k8s.io/kustomize/kyaml/filesys"
 )
 
-func lookupKustomizationFile(logger Logger, afs afero.Afero, basedir string) (string, bool) {
+func lookupKustomizationFile(logger Logger, afs afero.Afero, componentPath string) (string, bool) {
 	for _, k := range []string{"kustomization.yaml", "kustomization.yml", "Kustomization"} {
-		p := filepath.Join(basedir, k)
+		p := filepath.Join(componentPath, k)
 		if _, err := afs.Open(p); err == nil {
 			logger.Debug("found Kustomization file", "path", p)
 			return p, true
diff --git a/pkg/validation/resources.go b/pkg/validation/resources.go
index 7666fae..df2a93f 100644
--- a/pkg/validation/resources.go
+++ b/pkg/validation/resources.go
@@ -12,9 +12,9 @@ import (
 // Compares the entries of `resources` in the Kustomize file with the contents in the current directory to see if
 // any local file is missing (not referenced as a resource).
 // Files starting with an underscore character (`_`) are ignored
-func checkKustomizeResources(logger Logger, afs afero.Afero, path string) error {
-	logger.Debug("checking kustomization resource", "path", path)
-	data, err := afs.ReadFile(path)
+func checkKustomizeResources(logger Logger, afs afero.Afero, basedir, kpath string) error {
+	logger.Debug("checking kustomization resource", "path", kpath)
+	data, err := afs.ReadFile(kpath)
 	if err != nil {
 		return err
 	}
@@ -24,8 +24,8 @@ func checkKustomizeResources(logger Logger, afs afero.Afero, path string) error
 	}
 
 	// list resources
-	logger.Debug("checking kustomization resources", "dir", filepath.Dir(path))
-	entries, err := afs.ReadDir(filepath.Dir(path))
+	logger.Debug("checking kustomization resources", "dir", filepath.Dir(kpath))
+	entries, err := afs.ReadDir(filepath.Dir(kpath))
 	if err != nil {
 		return err
 	}
@@ -34,14 +34,14 @@ entries:
 		switch {
 		case e.IsDir():
 			fallthrough
-		case e.Name() == filepath.Base(path):
+		case e.Name() == filepath.Base(kpath):
 			fallthrough
 		case strings.HasPrefix(e.Name(), "_"):
 			fallthrough
 		case !(filepath.Ext(e.Name()) == ".yaml" || filepath.Ext(e.Name()) == ".yml"):
 			fallthrough
 		case filepath.Base(e.Name()) == "kustomization.yaml":
-			logger.Debug("ignoring file", "path", path)
+			logger.Debug("ignoring file", "path", kpath)
 			continue entries
 		}
 		for _, r := range kobj.Resources {
@@ -86,7 +86,9 @@ entries:
 				continue entries
 			}
 		}
-		return fmt.Errorf("resource is not referenced: %s", filepath.Join(path, e.Name()))
+		rkpath, _ := filepath.Rel(basedir, kpath)
+
+		return fmt.Errorf("resource is not referenced in %s: %s", rkpath, e.Name())
 	}
 	return nil
 }