diff --git a/.github/workflows/main.yml b/.github/workflows/main.yml
index cddfbf5..55c73fb 100644
--- a/.github/workflows/main.yml
+++ b/.github/workflows/main.yml
@@ -25,6 +25,11 @@ jobs:
           compose-file: "./docker/docker-compose.yml"
           compose-flags: "--profile profile-1"
           down-flags: "--volumes"
+      - uses: ./
+        with:
+          compose-file: "./docker/docker-compose-with-env.yml"
+        env:
+          IMAGE_NAME: hello-world
       - uses: ./
         with:
           compose-file: |
@@ -32,4 +37,4 @@ jobs:
             ./docker/docker-compose.ci.yml
           services: |
             helloworld2
-            helloworld4
\ No newline at end of file
+            helloworld4
diff --git a/README.md b/README.md
index afa14bf..374038d 100644
--- a/README.md
+++ b/README.md
@@ -46,3 +46,15 @@ steps:
         helloworld2
         helloworld3
 ```
+
+### Using environment variables
+
+```yaml
+steps:
+  - uses: actions/checkout@v3
+  - uses: isbang/compose-action@v1.2.0
+    with:
+      compose-file: "./docker/docker-compose.yml"
+    env:
+      CUSTOM_VARIABLE: "test"
+```
diff --git a/docker/docker-compose-with-env.yml b/docker/docker-compose-with-env.yml
new file mode 100644
index 0000000..19018bd
--- /dev/null
+++ b/docker/docker-compose-with-env.yml
@@ -0,0 +1,8 @@
+version: "3.8"
+
+volumes:
+  test_volume: {}
+
+services:
+  helloworld:
+    image: ${IMAGE_NAME}
diff --git a/main.js b/main.js
index 5861e53..7e3b63b 100644
--- a/main.js
+++ b/main.js
@@ -18,6 +18,7 @@ try {
     commandOptions: utils.parseFlags(core.getInput("up-flags")),
   };
 
+  const services = core.getMultilineInput("services", { required: false });
   const promise =
     services.length > 0
       ? compose.upMany(services, options)