diff --git a/mcp_server/src/graphiti_mcp_server.py b/mcp_server/src/graphiti_mcp_server.py
index a314e6a2..3405e0c0 100644
--- a/mcp_server/src/graphiti_mcp_server.py
+++ b/mcp_server/src/graphiti_mcp_server.py
@@ -144,13 +144,7 @@ For optimal performance, ensure the database is properly configured and accessib
 API keys are provided for any language model operations.
 """
 
-# MCP server instance
-mcp = FastMCP(
-    'Graphiti Agent Memory',
-    instructions=GRAPHITI_MCP_INSTRUCTIONS,
-)
-
-# Global services
+# Global services (set during lifespan initialization)
 graphiti_service: Optional['GraphitiService'] = None
 queue_service: QueueService | None = None
 
@@ -159,6 +153,60 @@ graphiti_client: Graphiti | None = None
 semaphore: asyncio.Semaphore
 
 
+@asynccontextmanager
+async def graphiti_lifespan(app):
+    """Lifespan context manager for FastMCP Cloud deployment.
+
+    This function initializes the Graphiti service when the server starts.
+    FastMCP Cloud calls this automatically - it does NOT run the if __name__ == '__main__' block.
+    """
+    global config, graphiti_service, queue_service, graphiti_client, semaphore
+
+    logger.info('Initializing Graphiti service via lifespan...')
+
+    try:
+        # Load configuration from environment variables (FastMCP Cloud sets these)
+        config = GraphitiConfig()
+
+        # Log configuration details
+        logger.info('Using configuration:')
+        logger.info(f'  - LLM: {config.llm.provider} / {config.llm.model}')
+        logger.info(f'  - Embedder: {config.embedder.provider} / {config.embedder.model}')
+        logger.info(f'  - Database: {config.database.provider}')
+        logger.info(f'  - Group ID: {config.graphiti.group_id}')
+
+        # Initialize services (GraphitiService is defined below, but that's OK
+        # since this function is only called at runtime, not definition time)
+        graphiti_service = GraphitiService(config, SEMAPHORE_LIMIT)
+        queue_service = QueueService()
+        await graphiti_service.initialize()
+
+        # Set global client for backward compatibility
+        graphiti_client = await graphiti_service.get_client()
+        semaphore = graphiti_service.semaphore
+
+        # Initialize queue service with the client
+        await queue_service.initialize(graphiti_client)
+
+        logger.info('Graphiti service initialized successfully via lifespan')
+
+        yield  # Server runs here
+
+    except Exception as e:
+        logger.error(f'Failed to initialize Graphiti service: {e}')
+        raise
+    finally:
+        logger.info('Shutting down Graphiti service...')
+
+
+# MCP server instance - pass lifespan to constructor for FastMCP Cloud
+mcp = FastMCP(
+    'Graphiti Agent Memory',
+    instructions=GRAPHITI_MCP_INSTRUCTIONS,
+    lifespan=graphiti_lifespan,
+)
+
+
 class GraphitiService:
     """Graphiti service using the unified configuration system."""
 
@@ -329,55 +377,6 @@ class GraphitiService:
         return self.client
 
 
-@asynccontextmanager
-async def graphiti_lifespan(app):
-    """Lifespan context manager for FastMCP Cloud deployment.
-
-    This function initializes the Graphiti service when the server starts.
-    FastMCP Cloud calls this automatically - it does NOT run the if __name__ == '__main__' block.
-    """
-    global config, graphiti_service, queue_service, graphiti_client, semaphore
-
-    logger.info('Initializing Graphiti service via lifespan...')
-
-    try:
-        # Load configuration from environment variables (FastMCP Cloud sets these)
-        config = GraphitiConfig()
-
-        # Log configuration details
-        logger.info('Using configuration:')
-        logger.info(f'  - LLM: {config.llm.provider} / {config.llm.model}')
-        logger.info(f'  - Embedder: {config.embedder.provider} / {config.embedder.model}')
-        logger.info(f'  - Database: {config.database.provider}')
-        logger.info(f'  - Group ID: {config.graphiti.group_id}')
-
-        # Initialize services
-        graphiti_service = GraphitiService(config, SEMAPHORE_LIMIT)
-        queue_service = QueueService()
-        await graphiti_service.initialize()
-
-        # Set global client for backward compatibility
-        graphiti_client = await graphiti_service.get_client()
-        semaphore = graphiti_service.semaphore
-
-        # Initialize queue service with the client
-        await queue_service.initialize(graphiti_client)
-
-        logger.info('Graphiti service initialized successfully via lifespan')
-
-        yield  # Server runs here
-
-    except Exception as e:
-        logger.error(f'Failed to initialize Graphiti service: {e}')
-        raise
-    finally:
-        logger.info('Shutting down Graphiti service...')
-
-
-# Update the MCP server to use the lifespan
-mcp.lifespan = graphiti_lifespan
-
-
 @mcp.tool()
 async def add_memory(
     name: str,