diff --git a/server/src/modules/auth/oauth/service.ts b/server/src/modules/auth/oauth/service.ts
index 3ce03b5ea4..734380df11 100644
--- a/server/src/modules/auth/oauth/service.ts
+++ b/server/src/modules/auth/oauth/service.ts
@@ -191,6 +191,7 @@ export class OauthService implements IOAuthService {
             [USER_ROLE.ADMIN],
             defaultOrganization.id,
             userDetails.id,
+            false,
             manager
           );
 
diff --git a/server/src/modules/auth/util.service.ts b/server/src/modules/auth/util.service.ts
index b552489b35..ae0e541eb8 100644
--- a/server/src/modules/auth/util.service.ts
+++ b/server/src/modules/auth/util.service.ts
@@ -40,6 +40,7 @@ import { OrganizationUsersRepository } from '@modules/organization-users/reposit
 import { SessionUtilService } from '@modules/session/util.service';
 import { OnboardingStatus } from '@modules/onboarding/constants';
 import { IAuthUtilService } from './interfaces/IUtilService';
+import { SetupOrganizationsUtilService } from '@modules/setup-organization/util.service';
 
 @Injectable()
 export class AuthUtilService implements IAuthUtilService {
@@ -57,7 +58,8 @@ export class AuthUtilService implements IAuthUtilService {
     protected readonly onboardingUtilService: OnboardingUtilService,
     protected readonly instanceSettingsUtilService: InstanceSettingsUtilService,
     protected readonly rolesRepository: RolesRepository,
-    protected profileUtilService: ProfileUtilService
+    protected profileUtilService: ProfileUtilService,
+    protected readonly setupOrganizationsUtilService: SetupOrganizationsUtilService
   ) {}
 
   async validateLoginUser(email: string, password: string, organizationId?: string): Promise<User> {
@@ -147,7 +149,7 @@ export class AuthUtilService implements IAuthUtilService {
 
     if (!user && allowPersonalWorkspace) {
       const { name, slug } = generateNextNameAndSlug('My workspace');
-      defaultOrganization = await this.organizationRepository.createOne(name, slug, manager);
+      defaultOrganization = await this.setupOrganizationsUtilService.create(name, slug, null, manager);
     }
 
     const { source, status } = getUserStatusAndSource(lifecycleEvents.USER_SSO_ACTIVATE, sso);
@@ -159,10 +161,10 @@ export class AuthUtilService implements IAuthUtilService {
         firstName,
         lastName,
         email,
-        source,
-        status,
+        source: defaultOrganization?.id ? WORKSPACE_USER_SOURCE.SIGNUP : source,
+        status: defaultOrganization?.id ? USER_STATUS.ACTIVE : status,
         password,
-        role: USER_ROLE.END_USER,
+        role: defaultOrganization?.id ? USER_ROLE.ADMIN : USER_ROLE.END_USER,
         defaultOrganizationId: defaultOrganization?.id || organization.id,
       },
       manager
@@ -186,11 +188,31 @@ export class AuthUtilService implements IAuthUtilService {
       manager,
       WORKSPACE_USER_SOURCE.SIGNUP
     );
-    if (defaultOrganization) {
+    await this.organizationUsersUtilService.attachUserGroup(
+      [USER_ROLE.END_USER],
+      organization.id,
+      user.id,
+      false,
+      manager
+    );
+    if (defaultOrganization?.id) {
       // Setting up default organization
-      await this.organizationUsersRepository.createOne(user, defaultOrganization, true, manager);
+      await this.organizationUsersRepository.createOne(
+        user,
+        defaultOrganization,
+        false,
+        manager,
+        WORKSPACE_USER_SOURCE.SIGNUP,
+        true
+      );
+      await this.organizationUsersUtilService.attachUserGroup(
+        [USER_ROLE.ADMIN],
+        defaultOrganization.id,
+        user.id,
+        false,
+        manager
+      );
     }
-    await this.organizationUsersUtilService.attachUserGroup([USER_ROLE.END_USER], organization.id, user.id, manager); //localhost:8082/login/tooljets-workspace?redirectTo=/
     return user;
   }
 
@@ -335,7 +357,7 @@ export class AuthUtilService implements IAuthUtilService {
       }
 
       if (ssoGroups?.length) {
-        await this.organizationUsersUtilService.attachUserGroup(groupsIds, organizationId, userId, manager);
+        await this.organizationUsersUtilService.attachUserGroup(groupsIds, organizationId, userId, true, manager);
         await this.licenseUserService.validateUser(manager);
       }
 
diff --git a/server/src/modules/organization-users/interfaces/IUtilService.ts b/server/src/modules/organization-users/interfaces/IUtilService.ts
index 673fea1ed1..4099cea3d6 100644
--- a/server/src/modules/organization-users/interfaces/IUtilService.ts
+++ b/server/src/modules/organization-users/interfaces/IUtilService.ts
@@ -14,7 +14,13 @@ export interface IOrganizationUsersUtilService {
     roleUpdateObj: RoleUpdate,
     manager: EntityManager
   ): Promise<void>;
-  attachUserGroup(groups: string[], organizationId: string, userId: string, manager?: EntityManager): Promise<void>;
+  attachUserGroup(
+    groups: string[],
+    organizationId: string,
+    userId: string,
+    areGroupIds: boolean,
+    manager?: EntityManager
+  ): Promise<void>;
   updateUserStatus(userId: string, status: string, manager?: EntityManager): Promise<void>;
   findInvitingUserByEmail(email: string, manager?: EntityManager): Promise<User>;
   validateInvitingUser(email: string, organizationId: string, manager: EntityManager): Promise<User>;
diff --git a/server/src/modules/organization-users/repository.ts b/server/src/modules/organization-users/repository.ts
index ae429c172e..c297d41a7e 100644
--- a/server/src/modules/organization-users/repository.ts
+++ b/server/src/modules/organization-users/repository.ts
@@ -19,7 +19,8 @@ export class OrganizationUsersRepository extends Repository<OrganizationUser> {
     organization: DeepPartial<Organization>,
     isInvite?: boolean,
     manager?: EntityManager,
-    source: WORKSPACE_USER_SOURCE = WORKSPACE_USER_SOURCE.INVITE
+    source: WORKSPACE_USER_SOURCE = WORKSPACE_USER_SOURCE.INVITE,
+    isDefaultOrganization: boolean = false
   ): Promise<OrganizationUser> {
     return await dbTransactionWrap(async (manager: EntityManager) => {
       return await manager.save(
@@ -28,7 +29,7 @@ export class OrganizationUsersRepository extends Repository<OrganizationUser> {
           organization,
           invitationToken: isInvite ? uuid.v4() : null,
           status: isInvite ? WORKSPACE_USER_STATUS.INVITED : WORKSPACE_USER_STATUS.ACTIVE,
-          source,
+          source: isDefaultOrganization ? WORKSPACE_USER_SOURCE.SIGNUP : source,
           role: 'all-users',
           createdAt: new Date(),
           updatedAt: new Date(),
diff --git a/server/src/modules/organization-users/util.service.ts b/server/src/modules/organization-users/util.service.ts
index c7c0a7db19..a817dbdfe0 100644
--- a/server/src/modules/organization-users/util.service.ts
+++ b/server/src/modules/organization-users/util.service.ts
@@ -136,6 +136,7 @@ export class OrganizationUsersUtilService implements IOrganizationUsersUtilServi
     groups: string[],
     organizationId: string,
     userId: string,
+    areGroupIds: boolean = false,
     manager?: EntityManager
   ): Promise<void> {
     if (!groups) return;
@@ -146,13 +147,11 @@ export class OrganizationUsersUtilService implements IOrganizationUsersUtilServi
 
       try {
         for (const addGroup of groups) {
-          const orgGroupPermission = await this.groupPermissionsRepository.getGroup(
-            {
-              organizationId: organizationId,
-              name: addGroup,
-            },
-            manager
-          );
+          const groupQuery = areGroupIds
+            ? { organizationId: organizationId, id: addGroup }
+            : { organizationId: organizationId, name: addGroup };
+
+          const orgGroupPermission = await this.groupPermissionsRepository.getGroup(groupQuery, manager);
           if (!orgGroupPermission) {
             throw new BadRequestException(`${addGroup} group does not exist for current organization`);
           }
@@ -485,7 +484,7 @@ export class OrganizationUsersUtilService implements IOrganizationUsersUtilServi
         );
       }
 
-      await this.attachUserGroup(inviteNewUserDto.groups, currentOrganization.id, updatedUser.id, manager);
+      await this.attachUserGroup(inviteNewUserDto.groups, currentOrganization.id, updatedUser.id, true, manager);
 
       await this.licenseUserService.validateUser(manager);
       await this.licenseOrganizationService.validateOrganization(manager);