diff --git a/frontend/src/lib/components/graph/FlowGraphV2.svelte b/frontend/src/lib/components/graph/FlowGraphV2.svelte
index 4788da7604..c141101c0c 100644
--- a/frontend/src/lib/components/graph/FlowGraphV2.svelte
+++ b/frontend/src/lib/components/graph/FlowGraphV2.svelte
@@ -34,7 +34,7 @@
 	import BaseEdge from './renderers/edges/BaseEdge.svelte'
 	import EmptyEdge from './renderers/edges/EmptyEdge.svelte'
 	import { sugiyama, dagStratify, coordCenter, decrossTwoLayer, decrossOpt } from 'd3-dag'
-	import { Expand } from 'lucide-svelte'
+	import { Expand, StickyNote } from 'lucide-svelte'
 	import Toggle from '../Toggle.svelte'
 	import DataflowEdge from './renderers/edges/DataflowEdge.svelte'
 	import { encodeState, readFieldsRecursively } from '$lib/utils'
@@ -55,6 +55,8 @@
 	import type { FlowGraphAssetContext } from '../flows/types'
 	import AiToolNode, { computeAIToolNodes } from './renderers/nodes/AIToolNode.svelte'
 	import NewAiToolNode from './renderers/nodes/NewAIToolNode.svelte'
+	import NoteNode from './renderers/nodes/NoteNode.svelte'
+	import NoteTool from './NoteTool.svelte'
 	import { ChangeTracker } from '$lib/svelte5Utils.svelte'
 	import type { ModulesTestStates } from '../modulesTest.svelte'
 	import { deepEqual } from 'fast-equals'
@@ -367,6 +369,19 @@
 
 	let height = $state(0)
 
+	// Note feature state
+	type NoteData = {
+		id: string
+		text: string
+		position: { x: number; y: number }
+		size: { width: number; height: number }
+		color: string
+	}
+
+	let noteMode = $state(false)
+	let notes = $state<NoteData[]>([])
+	let nextNoteId = $state(1)
+
 	function isSimplifiable(modules: FlowModule[] | undefined): boolean {
 		if (!modules || modules?.length !== 2) {
 			return false
@@ -379,6 +394,56 @@
 		return false
 	}
 
+	function toggleNoteMode() {
+		noteMode = !noteMode
+	}
+
+	function onNoteAdded(newNoteFromTool: any) {
+		// Add the note to our separate notes array if a note was created
+		if (newNoteFromTool) {
+			const newNote: NoteData = {
+				id: `note-${nextNoteId}`,
+				text: '',
+				position: newNoteFromTool.position,
+				size: newNoteFromTool.size || { width: 200, height: 100 },
+				color: 'oklch(96.2% 0.059 95.617)'
+			}
+			notes = [...notes, newNote]
+			nextNoteId += 1
+		}
+		noteMode = false
+		updateStores()
+	}
+
+	function updateNoteText(noteId: string, text: string) {
+		notes = notes.map((note) => (note.id === noteId ? { ...note, text } : note))
+	}
+
+	function deleteNote(noteId: string) {
+		notes = notes.filter((note) => note.id !== noteId)
+		updateStores()
+	}
+
+	function convertNotesToNodes(): Node[] {
+		return notes.map((note) => ({
+			id: note.id,
+			type: 'note',
+			position: note.position,
+			data: {
+				text: note.text,
+				color: note.color,
+				onUpdate: (text: string) => updateNoteText(note.id, text),
+				onDelete: () => deleteNote(note.id)
+			},
+			style: `width: ${note.size.width}px; height: ${note.size.height}px;`,
+			width: note.size.width,
+			height: note.size.height,
+			zIndex: 1,
+			draggable: true,
+			selectable: true
+		}))
+	}
+
 	async function updateStores() {
 		if (graph.error) {
 			return
@@ -409,7 +474,8 @@
 		nodes = [
 			...newNodes.map((n) => ({ ...n, position: aiToolNodesResult.newNodePositions[n.id] })),
 			...assetNodesResult.newAssetNodes,
-			...aiToolNodesResult.toolNodes
+			...aiToolNodesResult.toolNodes,
+			...convertNotesToNodes()
 		]
 		edges = [...assetNodesResult.newAssetEdges, ...aiToolNodesResult.toolEdges, ...graph.edges]
 
@@ -435,7 +501,8 @@
 		asset: AssetNode,
 		assetsOverflowed: AssetsOverflowedNode,
 		aiTool: AiToolNode,
-		newAiTool: NewAiToolNode
+		newAiTool: NewAiToolNode,
+		note: NoteNode
 	} as any
 
 	const edgeTypes = {
@@ -565,7 +632,7 @@
 		<SvelteFlowProvider>
 			<ViewportResizer {height} {width} {nodes} bind:this={viewportResizer} />
 			<SvelteFlow
-				onpaneclick={(e) => {
+				onpaneclick={() => {
 					document.dispatchEvent(new Event('focus'))
 				}}
 				{nodes}
@@ -586,6 +653,10 @@
 				--background-color={false}
 			>
 				<div class="absolute inset-0 !bg-surface-secondary h-full"></div>
+
+				{#if noteMode}
+					<NoteTool {onNoteAdded} />
+				{/if}
 				<Controls position="top-right" orientation="horizontal" showLock={false}>
 					{#if download}
 						<ControlButton
@@ -605,6 +676,15 @@
 							<Expand size="14" />
 						</ControlButton>
 					{/if}
+					{#if editMode}
+						<ControlButton
+							onclick={toggleNoteMode}
+							class={`!bg-surface ${noteMode ? '!bg-blue-100 dark:!bg-blue-900/30' : ''}`}
+							title={noteMode ? 'Exit note mode' : 'Add notes'}
+						>
+							<StickyNote size="14" class={noteMode ? 'text-blue-600' : ''} />
+						</ControlButton>
+					{/if}
 				</Controls>
 
 				<Controls
diff --git a/frontend/src/lib/components/graph/NoteTool.svelte b/frontend/src/lib/components/graph/NoteTool.svelte
new file mode 100644
index 0000000000..6dd78967bc
--- /dev/null
+++ b/frontend/src/lib/components/graph/NoteTool.svelte
@@ -0,0 +1,143 @@
+<script lang="ts">
+	import { useSvelteFlow, type XYPosition } from '@xyflow/svelte'
+
+	interface Props {
+		onNoteAdded?: (note: any) => void
+	}
+
+	let { onNoteAdded }: Props = $props()
+
+	const { screenToFlowPosition, getViewport } = useSvelteFlow()
+
+	let isDrawing = $state(false)
+	let startPosition: XYPosition | null = $state(null)
+	let endPosition: XYPosition | null = $state(null)
+	let rect: DOMRect | null = $state(null)
+
+	function onPointerDown(event: PointerEvent) {
+		// Capture pointer to continue tracking outside the element
+		const target = event.currentTarget as Element
+		target?.setPointerCapture?.(event.pointerId)
+
+		// Use page coordinates as reference
+		rect = target.getBoundingClientRect()
+		startPosition = {
+			x: event.pageX - rect.left,
+			y: event.pageY - rect.top
+		}
+		isDrawing = true
+	}
+
+	function onPointerMove(event: PointerEvent) {
+		console.log('NoteTool: pointer move', event)
+		if (event.buttons !== 1) return
+
+		// Use page coordinates as reference
+		const target = event.currentTarget as Element
+		rect = target.getBoundingClientRect()
+		endPosition = {
+			x: event.pageX - rect.left,
+			y: event.pageY - rect.top
+		}
+	}
+
+	function onPointerUp() {
+		if (!isDrawing || !startPosition || !endPosition || !rect) return
+
+		// We need to convert the start and end positions to absolute positions to then convert to flow positions
+		const absoluteStartPosition = {
+			x: startPosition.x + rect.left,
+			y: startPosition.y + rect.top
+		}
+		const absoluteEndPosition = {
+			x: endPosition.x + rect.left,
+			y: endPosition.y + rect.top
+		}
+
+		const position = screenToFlowPosition({
+			x: Math.min(absoluteStartPosition.x, absoluteEndPosition.x),
+			y: Math.min(absoluteStartPosition.y, absoluteEndPosition.y)
+		})
+
+		const zoom = getViewport().zoom
+		const size = {
+			width: Math.abs(absoluteEndPosition.x - absoluteStartPosition.x) / zoom,
+			height: Math.abs(absoluteEndPosition.y - absoluteStartPosition.y) / zoom
+		}
+
+		// Create the actual note with the calculated size and position
+		onNoteAdded?.({
+			position,
+			size
+		})
+
+		// Reset state
+		isDrawing = false
+		startPosition = null
+	}
+
+	const previewNote = $derived(
+		startPosition && endPosition
+			? {
+					position: {
+						x: Math.min(startPosition['x'], endPosition['x']),
+						y: Math.min(startPosition['y'], endPosition['y'])
+					},
+					size: {
+						width: Math.abs(endPosition['x'] - startPosition['x']),
+						height: Math.abs(endPosition['y'] - startPosition['y'])
+					}
+				}
+			: null
+	)
+</script>
+
+<div
+	class="tool-overlay"
+	onpointerdown={onPointerDown}
+	onpointermove={onPointerMove}
+	onpointerup={onPointerUp}
+	role="button"
+	tabindex="0"
+	aria-label="Click and drag to create a note"
+	onkeydown={(e) => {
+		if (e.key === 'Escape') {
+			if (isDrawing) {
+				// Cancel current drawing
+				isDrawing = false
+				startPosition = null
+			} else {
+				// Exit note mode
+				onNoteAdded?.(null)
+			}
+		}
+	}}
+>
+	<!-- Preview note while drawing -->
+	{#if previewNote}
+		<div
+			class="absolute border-2 border-dashed border-amber-400 bg-amber-100 bg-opacity-50 rounded-md pointer-events-none"
+			style="
+        width: {previewNote.size.width}px;
+        height: {previewNote.size.height}px;
+        transform: translate({previewNote.position.x}px, {previewNote.position.y}px);
+      "
+		>
+		</div>
+	{/if}
+</div>
+
+<style>
+	.tool-overlay {
+		pointer-events: auto;
+		position: absolute;
+		top: 0;
+		left: 0;
+		z-index: 4;
+		height: 100%;
+		width: 100%;
+		transform-origin: top left;
+		cursor: crosshair;
+		touch-action: none;
+	}
+</style>
diff --git a/frontend/src/lib/components/graph/renderers/nodes/NoteNode.svelte b/frontend/src/lib/components/graph/renderers/nodes/NoteNode.svelte
new file mode 100644
index 0000000000..d0e4e5c537
--- /dev/null
+++ b/frontend/src/lib/components/graph/renderers/nodes/NoteNode.svelte
@@ -0,0 +1,107 @@
+<script lang="ts">
+	import { NodeResizer } from '@xyflow/svelte'
+	import { X } from 'lucide-svelte'
+	import { twMerge } from 'tailwind-merge'
+
+	interface Props {
+		data: {
+			text: string
+			color: string
+			onUpdate?: (text: string) => void
+			onDelete?: () => void
+		}
+		selected?: boolean
+		dragging?: boolean
+	}
+
+	let { data, selected = false, dragging = false }: Props = $props()
+
+	let textareaElement: HTMLTextAreaElement | undefined = $state(undefined)
+
+	function handleTextChange(event: Event) {
+		const target = event.target as HTMLTextAreaElement
+		// Call the update callback
+		data.onUpdate?.(target.value)
+
+		// Auto-resize textarea
+		target.style.height = 'auto'
+		target.style.height = target.scrollHeight + 'px'
+	}
+
+	function handleDelete(event: Event) {
+		event.preventDefault()
+		event.stopPropagation()
+		// Call the delete callback
+		data.onDelete?.()
+	}
+
+	// Auto-resize textarea when text changes
+	$effect(() => {
+		if (textareaElement) {
+			textareaElement.style.height = 'auto'
+			textareaElement.style.height = textareaElement.scrollHeight + 'px'
+		}
+	})
+	$inspect('dbg selected', selected)
+</script>
+
+<div
+	class={twMerge(
+		'relative w-full h-full rounded-md shadow-md border',
+		selected ? 'outline outline-1 outline-amber-300' : ''
+	)}
+	style:background-color={data.color}
+	onpointerup={() => {
+		dragging = false
+	}}
+	ondragstart={() => {
+		dragging = true
+	}}
+	ondragend={() => {
+		dragging = false
+	}}
+	role="note"
+>
+	<!-- Delete button -->
+	<button
+		class="absolute top-3 right-3 w-5 h-5 bg-transparent text-secondary hover:bg-red-500 hover:text-white rounded-md flex items-center justify-center shadow-sm border transition-colors z-10"
+		onclick={handleDelete}
+		title="Delete note"
+		aria-label="Delete note"
+	>
+		<X size="12" />
+	</button>
+
+	<!-- Note content -->
+	<div class="p-2 h-full">
+		<textarea
+			bind:this={textareaElement}
+			class="windmillapp w-full h-full !bg-transparent !border-none outline-none shadow-none focus:outline-none focus:ring-transparent resize-none text-sm font-mono overflow-hidden"
+			placeholder="Add your note here..."
+			value={data.text}
+			oninput={handleTextChange}
+		></textarea>
+	</div>
+
+	<!-- Node resizer - only visible when selected -->
+	<NodeResizer
+		isVisible={selected && !dragging}
+		minWidth={200}
+		minHeight={100}
+		lineClass="!border-4 !border-transparent !rounded-md"
+		handleClass="!bg-transparent !w-4 !h-4 !border-none !rounded-md"
+	/>
+</div>
+
+<style>
+	textarea::placeholder {
+		color: #6b7280;
+		opacity: 0.7;
+	}
+
+	/* Remove default textarea styling */
+	textarea {
+		font-family: inherit;
+		line-height: 1.4;
+	}
+</style>