diff --git a/scripts/e2e/init-template-e2e.js b/scripts/e2e/init-template-e2e.js
index 19527e53f53bfd..8ebb651285ee27 100644
--- a/scripts/e2e/init-template-e2e.js
+++ b/scripts/e2e/init-template-e2e.js
@@ -117,7 +117,8 @@ async function initNewProjectFromSource(
 
     console.log('Running react-native init without install');
     execSync(
-      `node @react-native-community/cli init ${projectName} \
+      `npx @react-native-community/cli init ${projectName} \
+        --directory ${directory} \
         --template @react-native-community/template \
         --verbose \
         --pm npm \