diff --git a/newsfragments/cli-restoredb-manage-fs-data-in-sbubfloder.misc b/newsfragments/cli-restoredb-manage-fs-data-in-sbubfloder.misc
new file mode 100644
index 0000000..20f54be
--- /dev/null
+++ b/newsfragments/cli-restoredb-manage-fs-data-in-sbubfloder.misc
@@ -0,0 +1 @@
+Handles the case where the filestore data provided in the source is in a "filestore" subfolder
diff --git a/odoo_openupgrade_wizard/cli/cli_restoredb.py b/odoo_openupgrade_wizard/cli/cli_restoredb.py
index 5d607a8..4eb9ef6 100644
--- a/odoo_openupgrade_wizard/cli/cli_restoredb.py
+++ b/odoo_openupgrade_wizard/cli/cli_restoredb.py
@@ -59,6 +59,15 @@ def restoredb(
             "database-path should be inside the project path to allow "
             "postgresql to read to it."
         )
+
+    # Check db path exists
+    if not database_path.exists():
+        ctx.fail(f"Database path {database_path} does not exist.")
+
+    # Check filestore path exists
+    if not filestore_path.exists():
+        ctx.fail(f"Filestore path {filestore_path} does not exist.")
+
     # Restore the database
     output = execute_pg_restore(
         ctx,
diff --git a/odoo_openupgrade_wizard/tools/tools_system.py b/odoo_openupgrade_wizard/tools/tools_system.py
index 4f43de3..057736e 100644
--- a/odoo_openupgrade_wizard/tools/tools_system.py
+++ b/odoo_openupgrade_wizard/tools/tools_system.py
@@ -173,3 +173,12 @@ def restore_filestore(
     else:  # works for "t" and "tgz"
         tar = tarfile.open(src_path)
         tar.extractall(path=filestore_path)
+
+    # If a filestore/filestore/database/filestore directory exists,
+    # it means that the filestore was in a "filestore" subdirectory
+    # and we need to move this content to the parent directory.
+    filestore_subfolder = filestore_path / "filestore"
+    if filestore_subfolder.exists():
+        for file in filestore_subfolder.iterdir():
+            shutil.move(file, filestore_path)
+        shutil.rmtree(filestore_subfolder)
diff --git a/tests/cli_23_restoredb_test.py b/tests/cli_23_restoredb_test.py
index f452c5a..5d735cf 100644
--- a/tests/cli_23_restoredb_test.py
+++ b/tests/cli_23_restoredb_test.py
@@ -45,6 +45,38 @@ def test_cli_restoredb(mocker):
     # check filestore exists
     assert dest_filestore_path.exists()
 
+    # check the filestore content is at the right place
+    assert (dest_filestore_path / "01").exists()
+
+    # Check database exists
+    assert_database(ctx, db_name, "present")
+
+    # Delete filestore and database
+    shutil.rmtree(dest_filestore_path)
+    ensure_database(ctx, db_name, state="absent")
+
+    shutil.copyfile(
+        pathlib.Path("../restoredb/test_with_nested_filestore_dir.tar.gz"),
+        filestore_path,
+    )
+
+    cli_runner_invoke(
+        [
+            "restoredb",
+            f"--database={db_name}",
+            f"--database-path={database_path}",
+            "--database-format=c",
+            f"--filestore-path={filestore_path}",
+            "--filestore-format=tgz",
+        ],
+    )
+
+    # check filestore exists
+    assert dest_filestore_path.exists()
+
+    # check the filestore content is at the right place
+    assert (dest_filestore_path / "01").exists()
+
     # Check database exists
     assert_database(ctx, db_name, "present")
 
diff --git a/tests/data/restoredb/test.tar.gz b/tests/data/restoredb/test.tar.gz
index 7f5af3f..f755fe5 100644
Binary files a/tests/data/restoredb/test.tar.gz and b/tests/data/restoredb/test.tar.gz differ
diff --git a/tests/data/restoredb/test_with_nested_filestore_dir.tar.gz b/tests/data/restoredb/test_with_nested_filestore_dir.tar.gz
new file mode 100644
index 0000000..7f5af3f
Binary files /dev/null and b/tests/data/restoredb/test_with_nested_filestore_dir.tar.gz differ