diff --git a/pyproject.toml b/pyproject.toml
index 682a3f3a..508e9c2f 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -137,6 +137,7 @@ source = ["src"]
 omit = [
     "src/npe2/manifest/contributions/_keybindings.py",
     "src/npe2/manifest/menus.py",
+    "src/npe2/__main__.py",
     "src/npe2/manifest/package_metadata.py",
     # due to all of the isolated sub-environments and sub-processes,
     # it's really hard to get coverage on the setuptools plugin.
diff --git a/src/npe2/__main__.py b/src/npe2/__main__.py
new file mode 100644
index 00000000..7aaff027
--- /dev/null
+++ b/src/npe2/__main__.py
@@ -0,0 +1,4 @@
+from npe2.cli import main
+
+if __name__ == "__main__":
+    main()
diff --git a/src/npe2/_inspection/_from_npe1.py b/src/npe2/_inspection/_from_npe1.py
index 48622824..8a83a9d0 100644
--- a/src/npe2/_inspection/_from_npe1.py
+++ b/src/npe2/_inspection/_from_npe1.py
@@ -517,7 +517,13 @@ def get_top_module_path(package_name, top_module: Optional[str] = None) -> Path:
         top_module = top_mods[0]
 
     path = Path(dist.locate_file(top_module))
-    assert path.is_dir()
+    if not path.is_dir() and dist.files:
+        for f_path in dist.files:
+            if "__editable__" in f_path.name:
+                path = Path(f_path.read_text().strip()) / top_module
+                break
+
+    assert path.is_dir(), f"Could not find top level module {top_module} using {path}"
     return path
 
 
diff --git a/tests/conftest.py b/tests/conftest.py
index ed669df2..4da1e607 100644
--- a/tests/conftest.py
+++ b/tests/conftest.py
@@ -172,6 +172,53 @@ def _from_name(name):
                     (npe1_repo / "setup.py").unlink()
 
 
+@pytest.fixture
+def mock_npe1_pm_with_plugin_editable(npe1_repo, npe1_plugin_module, tmp_path):
+    """Mocks a fully installed local repository"""
+    from npe2._inspection._from_npe1 import plugin_packages
+
+    dist_path = tmp_path / "npe1-plugin-0.0.1.dist-info"
+    shutil.copytree(npe1_repo / "npe1-plugin-0.0.1.dist-info", dist_path)
+
+    record_path = dist_path / "RECORD"
+
+    record_content = record_path.read_text().splitlines()
+    record_content.pop(-1)
+    record_content.append("__editable__.npe1-plugin-0.0.1.pth")
+
+    with record_path.open("w") as f:
+        f.write("\n".join(record_content))
+
+    with open(tmp_path / "__editable__.npe1-plugin-0.0.1.pth", "w") as f:
+        f.write(str(npe1_repo))
+
+    mock_dist = metadata.PathDistribution(dist_path)
+
+    def _dists():
+        return [mock_dist]
+
+    def _from_name(name):
+        if name == "npe1-plugin":
+            return mock_dist
+        raise metadata.PackageNotFoundError(name)
+
+    setup_cfg = npe1_repo / "setup.cfg"
+    new_manifest = npe1_repo / "npe1_module" / "napari.yaml"
+    with patch.object(metadata, "distributions", new=_dists):
+        with patch.object(metadata.Distribution, "from_name", new=_from_name):
+            cfg = setup_cfg.read_text()
+            plugin_packages.cache_clear()
+            try:
+                yield mock_npe1_pm
+            finally:
+                plugin_packages.cache_clear()
+                setup_cfg.write_text(cfg)
+                if new_manifest.exists():
+                    new_manifest.unlink()
+                if (npe1_repo / "setup.py").exists():
+                    (npe1_repo / "setup.py").unlink()
+
+
 @pytest.fixture(autouse=True)
 def mock_cache(tmp_path, monkeypatch):
     with monkeypatch.context() as m:
diff --git a/tests/npe1-plugin/npe1-plugin-0.0.1.dist-info/RECORD b/tests/npe1-plugin/npe1-plugin-0.0.1.dist-info/RECORD
new file mode 100644
index 00000000..f0f82af7
--- /dev/null
+++ b/tests/npe1-plugin/npe1-plugin-0.0.1.dist-info/RECORD
@@ -0,0 +1,5 @@
+npe1-plugin-0.0.1.dist-info/RECORD,,
+npe1-plugin-0.0.1.dist-info/METADATA,,
+npe1-plugin-0.0.1.dist-info/top_level.txt,,
+npe1-plugin-0.0.1.dist-info/entry_points.txt,,
+../npe1_module/__init__.py,,
diff --git a/tests/test_conversion.py b/tests/test_conversion.py
index 499c1f6f..4f179dc5 100644
--- a/tests/test_conversion.py
+++ b/tests/test_conversion.py
@@ -68,6 +68,30 @@ def test_conversion_from_package(npe1_repo, mock_npe1_pm_with_plugin):
     assert "Is this package already converted?" in str(e.value)
 
 
+@pytest.mark.filterwarnings("ignore:Failed to convert napari_provide_sample_data")
+@pytest.mark.filterwarnings("ignore:Error converting function")
+@pytest.mark.filterwarnings("ignore:Error converting dock widget")
+def test_conversion_from_package_editable(npe1_repo, mock_npe1_pm_with_plugin_editable):
+    setup_cfg = npe1_repo / "setup.cfg"
+    before = setup_cfg.read_text()
+    convert_repository(npe1_repo, dry_run=True)
+    assert setup_cfg.read_text() == before
+    assert not (npe1_repo / "npe1_module" / "napari.yaml").exists()
+    convert_repository(npe1_repo, dry_run=False)
+    new_setup = setup_cfg.read_text()
+    assert new_setup != before
+    assert (
+        "[options.entry_points]\n"
+        "napari.manifest = \n	npe1-plugin = npe1_module:napari.yaml"
+    ) in new_setup
+    assert "[options.package_data]\nnpe1_module = napari.yaml" in new_setup
+    assert (npe1_repo / "npe1_module" / "napari.yaml").is_file()
+
+    with pytest.raises(ValueError) as e:
+        convert_repository(npe1_repo)
+    assert "Is this package already converted?" in str(e.value)
+
+
 def _assert_expected_errors(record: pytest.WarningsRecorder):
     assert len(record) == 4
     msg = str(record[0].message)