diff --git a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/create-empty.action.ts b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/create-empty.action.ts
deleted file mode 100644
index f6103963d6..0000000000
--- a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/create-empty.action.ts
+++ /dev/null
@@ -1,17 +0,0 @@
-import { UmbEntityActionBase } from '@umbraco-cms/backoffice/entity-action';
-import { UmbControllerHostElement } from '@umbraco-cms/backoffice/controller-api';
-
-export class UmbCreateScriptAction<T extends { copy(): Promise<void> }> extends UmbEntityActionBase<T> {
-	constructor(host: UmbControllerHostElement, repositoryAlias: string, unique: string) {
-		super(host, repositoryAlias, unique);
-	}
-
-	async execute() {
-		if (this.unique !== null) {
-			// Note: %2F is a slash (/)
-			this.unique = this.unique.replace(/\//g, '%2F');
-		}
-
-		history.pushState(null, '', `section/settings/workspace/script/create/${this.unique ?? 'null'}`);
-	}
-}
diff --git a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/create.action.ts b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/create.action.ts
new file mode 100644
index 0000000000..67e3de6dba
--- /dev/null
+++ b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/create.action.ts
@@ -0,0 +1,27 @@
+import { UMB_SCRIPT_CREATE_OPTIONS_MODAL } from './options-modal/index.js';
+import { UmbEntityActionBase } from '@umbraco-cms/backoffice/entity-action';
+import { UmbControllerHostElement } from '@umbraco-cms/backoffice/controller-api';
+import { UmbModalManagerContext, UMB_MODAL_MANAGER_CONTEXT_TOKEN } from '@umbraco-cms/backoffice/modal';
+
+export class UmbScriptCreateOptionsEntityAction extends UmbEntityActionBase<never> {
+	#modalManagerContext?: UmbModalManagerContext;
+
+	constructor(host: UmbControllerHostElement, repositoryAlias: string, unique: string) {
+		super(host, repositoryAlias, unique);
+
+		this.consumeContext(UMB_MODAL_MANAGER_CONTEXT_TOKEN, (instance) => {
+			this.#modalManagerContext = instance;
+		});
+	}
+
+	async execute() {
+		if (!this.#modalManagerContext) throw new Error('Modal manager context is not available');
+		if (!this.repository) throw new Error('Repository is not available');
+
+		this.#modalManagerContext?.open(UMB_SCRIPT_CREATE_OPTIONS_MODAL, {
+			data: {
+				parentUnique: this.unique,
+			},
+		});
+	}
+}
diff --git a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/manifests.ts b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/manifests.ts
new file mode 100644
index 0000000000..1d2209278e
--- /dev/null
+++ b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/manifests.ts
@@ -0,0 +1,26 @@
+import { UMB_SCRIPT_FOLDER_ENTITY_TYPE, UMB_SCRIPT_ROOT_ENTITY_TYPE } from '../../entity.js';
+import { UMB_SCRIPT_DETAIL_REPOSITORY_ALIAS } from '../../repository/manifests.js';
+import { UmbScriptCreateOptionsEntityAction } from './create.action.js';
+import { ManifestTypes } from '@umbraco-cms/backoffice/extension-registry';
+
+export const manifests: Array<ManifestTypes> = [
+	{
+		type: 'entityAction',
+		alias: 'Umb.EntityAction.Script.CreateOptions',
+		name: 'Script Create Options Entity Action',
+		weight: 1000,
+		api: UmbScriptCreateOptionsEntityAction,
+		meta: {
+			icon: 'icon-add',
+			label: 'Create...',
+			repositoryAlias: UMB_SCRIPT_DETAIL_REPOSITORY_ALIAS,
+			entityTypes: [UMB_SCRIPT_ROOT_ENTITY_TYPE, UMB_SCRIPT_FOLDER_ENTITY_TYPE],
+		},
+	},
+	{
+		type: 'modal',
+		alias: 'Umb.Modal.Script.CreateOptions',
+		name: 'Script Create Options Modal',
+		js: () => import('./options-modal/script-create-options-modal.element.js'),
+	},
+];
diff --git a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/options-modal/index.ts b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/options-modal/index.ts
new file mode 100644
index 0000000000..f3b3126bb7
--- /dev/null
+++ b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/options-modal/index.ts
@@ -0,0 +1,15 @@
+import { UmbModalToken } from '@umbraco-cms/backoffice/modal';
+
+export interface UmbScriptCreateOptionsModalData {
+	parentUnique: string | null;
+}
+
+export const UMB_SCRIPT_CREATE_OPTIONS_MODAL = new UmbModalToken<UmbScriptCreateOptionsModalData>(
+	'Umb.Modal.Script.CreateOptions',
+	{
+		modal: {
+			type: 'sidebar',
+			size: 'small',
+		},
+	},
+);
diff --git a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/options-modal/script-create-options-modal.element.ts b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/options-modal/script-create-options-modal.element.ts
new file mode 100644
index 0000000000..ebf1dde004
--- /dev/null
+++ b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/create/options-modal/script-create-options-modal.element.ts
@@ -0,0 +1,84 @@
+import { UMB_SCRIPT_FOLDER_REPOSITORY_ALIAS } from '../../../tree/folder/index.js';
+import { UmbScriptCreateOptionsModalData } from './index.js';
+import { html, customElement } from '@umbraco-cms/backoffice/external/lit';
+import { UmbTextStyles } from '@umbraco-cms/backoffice/style';
+import {
+	UMB_MODAL_MANAGER_CONTEXT_TOKEN,
+	UmbModalManagerContext,
+	UmbModalBaseElement,
+} from '@umbraco-cms/backoffice/modal';
+import { UmbCreateFolderEntityAction } from '@umbraco-cms/backoffice/tree';
+
+@customElement('umb-script-create-options-modal')
+export class UmbScriptCreateOptionsModalElement extends UmbModalBaseElement<UmbScriptCreateOptionsModalData, string> {
+	#modalManager?: UmbModalManagerContext;
+	#createFolderAction?: UmbCreateFolderEntityAction<any>;
+
+	constructor() {
+		super();
+
+		this.consumeContext(UMB_MODAL_MANAGER_CONTEXT_TOKEN, (instance) => {
+			this.#modalManager = instance;
+		});
+	}
+
+	connectedCallback(): void {
+		super.connectedCallback();
+
+		if (this.data?.parentUnique === undefined) throw new Error('A parent unique is required to create a folder');
+
+		this.#createFolderAction = new UmbCreateFolderEntityAction(
+			this,
+			UMB_SCRIPT_FOLDER_REPOSITORY_ALIAS,
+			this.data.parentUnique,
+		);
+	}
+
+	async #onCreateFolderClick(event: PointerEvent) {
+		event.stopPropagation();
+
+		try {
+			await this.#createFolderAction?.execute();
+			this._submitModal();
+		} catch (error) {
+			console.error(error);
+		}
+	}
+
+	// close the modal when navigating to data type
+	#onNavigate() {
+		this._submitModal();
+	}
+
+	render() {
+		return html`
+			<umb-body-layout headline="Create Script">
+				<uui-box>
+					<!-- TODO: construct url -->
+					<uui-menu-item
+						href=${`section/settings/workspace/script/create/${this.data?.parentUnique || 'null'}`}
+						label="New Javascript file"
+						@click=${this.#onNavigate}>
+						<uui-icon slot="icon" name="icon-article"></uui-icon>}
+					</uui-menu-item>
+
+					<uui-menu-item @click=${this.#onCreateFolderClick} label="New Folder...">
+						<uui-icon slot="icon" name="icon-folder"></uui-icon>}
+					</uui-menu-item>
+				</uui-box>
+
+				<uui-button slot="actions" id="cancel" label="Cancel" @click="${this._rejectModal}">Cancel</uui-button>
+			</umb-body-layout>
+		`;
+	}
+
+	static styles = [UmbTextStyles];
+}
+
+export default UmbScriptCreateOptionsModalElement;
+
+declare global {
+	interface HTMLElementTagNameMap {
+		'umb-script-create-options-modal': UmbScriptCreateOptionsModalElement;
+	}
+}
diff --git a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/manifests.ts b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/manifests.ts
index 28bd08fd8f..a8f9b9afb6 100644
--- a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/manifests.ts
+++ b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/entity-actions/manifests.ts
@@ -1,11 +1,10 @@
 import { UMB_SCRIPT_DETAIL_REPOSITORY_ALIAS } from '../repository/index.js';
-import { UMB_SCRIPT_ENTITY_TYPE, UMB_SCRIPT_FOLDER_ENTITY_TYPE, UMB_SCRIPT_ROOT_ENTITY_TYPE } from '../entity.js';
-import { UmbCreateScriptAction } from './create/create-empty.action.js';
+import { UMB_SCRIPT_ENTITY_TYPE } from '../entity.js';
+import { manifests as createManifests } from './create/manifests.js';
 import { UmbDeleteEntityAction } from '@umbraco-cms/backoffice/entity-action';
 import { ManifestEntityAction } from '@umbraco-cms/backoffice/extension-registry';
 
 export const UMB_DELETE_SCRIPT_ENTITY_ACTION_ALIAS = 'Umb.EntityAction.Script.Delete';
-export const UMB_CREATE_SCRIPT_ENTITY_ACTION_ALIAS = 'Umb.EntityAction.Script.Create';
 
 const scriptViewActions: Array<ManifestEntityAction> = [
 	{
@@ -22,19 +21,4 @@ const scriptViewActions: Array<ManifestEntityAction> = [
 	},
 ];
 
-const scriptFolderActions: Array<ManifestEntityAction> = [
-	{
-		type: 'entityAction',
-		alias: UMB_CREATE_SCRIPT_ENTITY_ACTION_ALIAS,
-		name: 'Create Script Under Directory Entity Action',
-		api: UmbCreateScriptAction,
-		meta: {
-			icon: 'icon-article',
-			label: 'New empty script',
-			repositoryAlias: UMB_SCRIPT_DETAIL_REPOSITORY_ALIAS,
-			entityTypes: [UMB_SCRIPT_FOLDER_ENTITY_TYPE, UMB_SCRIPT_ROOT_ENTITY_TYPE],
-		},
-	},
-];
-
-export const manifests = [...scriptViewActions, ...scriptFolderActions];
+export const manifests = [...scriptViewActions, ...createManifests];
diff --git a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/tree/folder/index.ts b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/tree/folder/index.ts
index ae1d18208a..83ac344c66 100644
--- a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/tree/folder/index.ts
+++ b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/tree/folder/index.ts
@@ -1,6 +1,2 @@
 export { UmbScriptFolderRepository } from './script-folder.repository.js';
-export {
-	UMB_SCRIPT_FOLDER_REPOSITORY_ALIAS,
-	UMB_DELETE_SCRIPT_FOLDER_ENTITY_ACTION_ALIAS,
-	UMB_CREATE_SCRIPT_FOLDER_ENTITY_ACTION_ALIAS,
-} from './manifests.js';
+export { UMB_SCRIPT_FOLDER_REPOSITORY_ALIAS, UMB_DELETE_SCRIPT_FOLDER_ENTITY_ACTION_ALIAS } from './manifests.js';
diff --git a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/tree/folder/manifests.ts b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/tree/folder/manifests.ts
index 017ab70edb..1288d808b2 100644
--- a/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/tree/folder/manifests.ts
+++ b/src/Umbraco.Web.UI.Client/src/packages/templating/scripts/tree/folder/manifests.ts
@@ -1,6 +1,6 @@
-import { UMB_SCRIPT_FOLDER_ENTITY_TYPE, UMB_SCRIPT_ROOT_ENTITY_TYPE } from '../../entity.js';
+import { UMB_SCRIPT_FOLDER_ENTITY_TYPE } from '../../entity.js';
 import { UmbScriptFolderRepository } from './script-folder.repository.js';
-import { UmbCreateFolderEntityAction, UmbDeleteFolderEntityAction } from '@umbraco-cms/backoffice/tree';
+import { UmbDeleteFolderEntityAction } from '@umbraco-cms/backoffice/tree';
 import type { ManifestRepository } from '@umbraco-cms/backoffice/extension-registry';
 
 export const UMB_SCRIPT_FOLDER_REPOSITORY_ALIAS = 'Umb.Repository.Script.Folder';
@@ -13,21 +13,8 @@ const folderRepository: ManifestRepository = {
 };
 
 export const UMB_DELETE_SCRIPT_FOLDER_ENTITY_ACTION_ALIAS = 'Umb.EntityAction.Script.Folder.Delete';
-export const UMB_CREATE_SCRIPT_FOLDER_ENTITY_ACTION_ALIAS = 'Umb.EntityAction.Script.Folder.Create';
 
 const entityActions = [
-	{
-		type: 'entityAction',
-		alias: UMB_CREATE_SCRIPT_FOLDER_ENTITY_ACTION_ALIAS,
-		name: 'Create Script folder',
-		api: UmbCreateFolderEntityAction,
-		meta: {
-			icon: 'icon-add',
-			label: 'Create folder...',
-			repositoryAlias: UMB_SCRIPT_FOLDER_REPOSITORY_ALIAS,
-			entityTypes: [UMB_SCRIPT_ROOT_ENTITY_TYPE, UMB_SCRIPT_FOLDER_ENTITY_TYPE],
-		},
-	},
 	{
 		type: 'entityAction',
 		alias: UMB_DELETE_SCRIPT_FOLDER_ENTITY_ACTION_ALIAS,