diff --git a/tests/common.sh b/tests/common.sh
index 8941671d6..7b0922c9f 100644
--- a/tests/common.sh
+++ b/tests/common.sh
@@ -4,7 +4,7 @@ if [[ -z "${COMMON_SH_SOURCED-}" ]]; then
 
 COMMON_SH_SOURCED=1
 
-source "$(readlink -f "$(dirname "${BASH_SOURCE[0]}")")/common/vars-and-functions.sh"
+source "$(readlink -f "$(dirname "${BASH_SOURCE[0]-$0}")")/common/vars-and-functions.sh"
 if [[ -n "${NIX_DAEMON_PACKAGE:-}" ]]; then
     startDaemon
 fi
diff --git a/tests/local.mk b/tests/local.mk
index 61fb1a85b..ea5550c75 100644
--- a/tests/local.mk
+++ b/tests/local.mk
@@ -133,7 +133,8 @@ nix_tests = \
   impure-derivations.sh \
   path-from-hash-part.sh \
   toString-path.sh \
-  overlay-local-store.sh
+  overlay-local-store/outer.sh \
+  overlay-local-store/bad-uris.sh
 
 ifeq ($(HAVE_LIBCPUID), 1)
 	nix_tests += compute-levels.sh
diff --git a/tests/overlay-local-store.sh b/tests/overlay-local-store.sh
deleted file mode 100644
index 242c16e20..000000000
--- a/tests/overlay-local-store.sh
+++ /dev/null
@@ -1,10 +0,0 @@
-source common.sh
-
-requireSandboxSupport
-[[ $busybox =~ busybox ]] || skipTest "no busybox"
-if [[ $(uname) != Linux ]]; then skipTest "Need Linux for overlayfs"; fi
-needLocalStore "The test uses --store always so we would just be bypassing the daemon"
-
-echo "drop-supplementary-groups = false" >> "$NIX_CONF_DIR"/nix.conf
-
-exec unshare --mount --map-root-user overlay-local-store/inner.sh
diff --git a/tests/overlay-local-store/bad-uris.sh b/tests/overlay-local-store/bad-uris.sh
new file mode 100644
index 000000000..d4261bd97
--- /dev/null
+++ b/tests/overlay-local-store/bad-uris.sh
@@ -0,0 +1,25 @@
+source common.sh
+
+requireEnvironment
+setupConfig
+storeDirs
+
+mkdir -p $TEST_ROOT/bad_test
+badTestRoot=$TEST_ROOT/bad_test
+storeBadRoot="local-overlay?root=$badTestRoot&lower-store=$storeA&upper-layer=$storeBTop"
+storeBadLower="local-overlay?root=$TEST_ROOT/merged-store&lower-store=$badTestRoot&upper-layer=$storeBTop"
+storeBadUpper="local-overlay?root=$TEST_ROOT/merged-store&lower-store=$storeA&upper-layer=$badTestRoot"
+
+declare -a storesBad=(
+    "$storeBadRoot" "$storeBadLower" "$storeBadUpper"
+)
+
+for i in "${storesBad[@]}"; do
+    echo $i
+    unshare --mount --map-root-user bash <<EOF
+        source common.sh
+        storeDirs
+        mountOverlayfs
+        expectStderr 1 nix doctor --store "$i" | grepQuiet "overlay filesystem .* mounted incorrectly"
+EOF
+done
diff --git a/tests/overlay-local-store/common.sh b/tests/overlay-local-store/common.sh
new file mode 100644
index 000000000..6d9b69b4c
--- /dev/null
+++ b/tests/overlay-local-store/common.sh
@@ -0,0 +1,52 @@
+source ../common.sh
+
+requireEnvironment () {
+    requireSandboxSupport
+    [[ $busybox =~ busybox ]] || skipTest "no busybox"
+    if [[ $(uname) != Linux ]]; then skipTest "Need Linux for overlayfs"; fi
+    needLocalStore "The test uses --store always so we would just be bypassing the daemon"
+}
+
+setupConfig () {
+    echo "drop-supplementary-groups = false" >> "$NIX_CONF_DIR"/nix.conf
+    echo "build-users-group = " >> "$NIX_CONF_DIR"/nix.conf
+}
+
+storeDirs () {
+    storeA="$TEST_ROOT/store-a"
+    storeBTop="$TEST_ROOT/store-b"
+    storeB="local-overlay?root=$TEST_ROOT/merged-store&lower-store=$storeA&upper-layer=$storeBTop"
+    # Creating testing directories
+    mkdir -p "$TEST_ROOT"/{store-a/nix/store,store-b,merged-store/nix/store,workdir}
+}
+
+# Mounting Overlay Store
+mountOverlayfs () {
+  mount -t overlay overlay \
+    -o lowerdir="$storeA/nix/store" \
+    -o upperdir="$storeBTop" \
+    -o workdir="$TEST_ROOT/workdir" \
+    "$TEST_ROOT/merged-store/nix/store" \
+    || skipTest "overlayfs is not supported"
+
+  cleanupOverlay () {
+    umount "$TEST_ROOT/merged-store/nix/store"
+    rm -r $TEST_ROOT/workdir
+  }
+  trap cleanupOverlay EXIT
+}
+
+toRealPath () {
+  storeDir=$1; shift
+  storePath=$1; shift
+  echo $storeDir$(echo $storePath | sed "s^$NIX_STORE_DIR^^")
+}
+
+initLowerStore () {
+  # Init lower store with some stuff
+  nix-store --store "$storeA" --add ../dummy
+
+  # Build something in lower store
+  drvPath=$(nix-instantiate --store $storeA ../hermetic.nix --arg busybox "$busybox" --arg seed 1)
+  path=$(nix-store --store "$storeA" --realise $drvPath)
+}
diff --git a/tests/overlay-local-store/inner.sh b/tests/overlay-local-store/inner.sh
index c8d49eb19..adbe29557 100755
--- a/tests/overlay-local-store/inner.sh
+++ b/tests/overlay-local-store/inner.sh
@@ -6,53 +6,11 @@ set -x
 
 source common.sh
 
-export NIX_CONFIG='build-users-group = '
+storeDirs
 
-# Creating testing directories
+initLowerStore
 
-storeA="$TEST_ROOT/store-a"
-storeBTop="$TEST_ROOT/store-b"
-storeB="local-overlay?root=$TEST_ROOT/merged-store&lower-store=$storeA&upper-layer=$storeBTop"
-
-mkdir -p $TEST_ROOT/bad_test
-badTestRoot=$TEST_ROOT/bad_test
-storeBadRoot="local-overlay?root=$badTestRoot&lower-store=$storeA&upper-layer=$storeBTop"
-storeBadLower="local-overlay?root=$TEST_ROOT/merged-store&lower-store=$badTestRoot&upper-layer=$storeBTop"
-storeBadUpper="local-overlay?root=$TEST_ROOT/merged-store&lower-store=$storeA&upper-layer=$badTestRoot"
-
-declare -a storesBad=(
-    "$storeBadRoot" "$storeBadLower" "$storeBadUpper"
-)
-
-mkdir -p "$TEST_ROOT"/{store-a,store-b,merged-store/nix/store,workdir}
-
-# Mounting Overlay Store
-
-# Init lower store with some stuff
-nix-store --store "$storeA" --add dummy
-
-# Build something in lower store
-drvPath=$(nix-instantiate --store $storeA ./hermetic.nix --arg busybox "$busybox" --arg seed 1)
-path=$(nix-store --store "$storeA" --realise $drvPath)
-
-mount -t overlay overlay \
-  -o lowerdir="$storeA/nix/store" \
-  -o upperdir="$storeBTop" \
-  -o workdir="$TEST_ROOT/workdir" \
-  "$TEST_ROOT/merged-store/nix/store" \
-  || skipTest "overlayfs is not supported"
-
-cleanupOverlay () {
-  umount "$TEST_ROOT/merged-store/nix/store"
-  rm -r $TEST_ROOT/workdir
-}
-trap cleanupOverlay EXIT
-
-toRealPath () {
-  storeDir=$1; shift
-  storePath=$1; shift
-  echo $storeDir$(echo $storePath | sed "s^$NIX_STORE_DIR^^")
-}
+mountOverlayfs
 
 ### Check status
 
@@ -113,12 +71,7 @@ hashPart=$(echo $path | sed "s^$NIX_STORE_DIR/^^" | sed 's/-.*//')
 # upper layer should not have it
 expect 1 stat $(toRealPath "$storeBTop/nix/store" "$path")
 
-path=$(nix-store --store "$storeB" --add dummy)
-
-for i in "${storesBad[@]}"; do
-    echo $i
-    expectStderr 1 nix-store --store "$i" --add dummy | grepQuiet "overlay filesystem .* mounted incorrectly"
-done
+path=$(nix-store --store "$storeB" --add ../dummy)
 
 # lower store should have it from before
 stat $(toRealPath "$storeA/nix/store" "$path")
@@ -128,7 +81,7 @@ expect 1 stat $(toRealPath "$storeB/nix/store" "$path")
 
 ### Do a build in overlay store
 
-path=$(nix-build ./hermetic.nix --arg busybox $busybox --arg seed 2 --store "$storeB" --no-out-link)
+path=$(nix-build ../hermetic.nix --arg busybox $busybox --arg seed 2 --store "$storeB" --no-out-link)
 
 # Checking for path in lower layer (should fail)
 expect 1 stat $(toRealPath "$storeA/nix/store" "$path")
diff --git a/tests/overlay-local-store/outer.sh b/tests/overlay-local-store/outer.sh
new file mode 100755
index 000000000..ba55f1d06
--- /dev/null
+++ b/tests/overlay-local-store/outer.sh
@@ -0,0 +1,5 @@
+source common.sh
+
+requireEnvironment
+setupConfig
+exec unshare --mount --map-root-user ./inner.sh