diff --git a/package.json b/package.json
index ce93b3d8d7..c8aa57ce7b 100644
--- a/package.json
+++ b/package.json
@@ -10,7 +10,7 @@
   "scripts": {
     "build": "babel-node tools/build-cli.js",
     "test-watch": "karma start",
-    "test": "npm run lint && npm run build && karma start --single-run && _mocha --compilers js:babel-core/register './test/server/*Spec.js'",
+    "test": "npm run lint && npm run build && karma start --single-run && _mocha --compilers js:babel-core/register test/server/*Spec.js",
     "lint": "eslint ./",
     "docs-build": "babel-node tools/build-cli.js --docs-only",
     "docs": "docs/dev-run",
@@ -60,6 +60,7 @@
     "file-loader": "^0.8.1",
     "fs-extra": "^0.18.0",
     "fs-promise": "^0.3.1",
+    "glob": "^5.0.10",
     "http-proxy": "^1.11.1",
     "ip": "^0.3.2",
     "json-loader": "^0.5.1",
@@ -81,6 +82,7 @@
     "mocha": "^2.2.1",
     "node-libs-browser": "^0.5.2",
     "nodemon": "^1.3.7",
+    "output-file-sync": "^1.1.0",
     "phantomjs": "^1.9.17",
     "portfinder": "^0.4.0",
     "react": "^0.13.1",
diff --git a/tools/amd/build.js b/tools/amd/build.js
index 4544c74522..d52aedf7e5 100644
--- a/tools/amd/build.js
+++ b/tools/amd/build.js
@@ -5,6 +5,7 @@ import { copy } from '../fs-utils';
 import { exec } from '../exec';
 import generateFactories from '../generateFactories';
 import { repoRoot, srcRoot, bowerRoot } from '../constants';
+import { buildFolder } from '../buildBabel';
 
 const packagePath = path.join(repoRoot, 'package.json');
 const bowerTemplate = path.join(__dirname, 'bower.json');
@@ -13,7 +14,7 @@ const bowerJson = path.join(bowerRoot, 'bower.json');
 const readme = path.join(__dirname, 'README.md');
 const license = path.join(repoRoot, 'LICENSE');
 
-const babelOptions = '--modules amd';
+const babelOptions = {modules: 'amd'};
 
 const libDestination = path.join(bowerRoot, 'lib');
 const factoriesDestination = path.join(libDestination, 'factories');
@@ -37,7 +38,7 @@ export default function BuildBower() {
     .then(() => Promise.all([
       bowerConfig(),
       generateFactories(factoriesDestination, babelOptions),
-      exec(`babel ${babelOptions} ${srcRoot} --out-dir ${libDestination}`),
+      buildFolder(srcRoot, libDestination, babelOptions),
       copy(readme, bowerRoot),
       copy(license, bowerRoot)
     ]))
diff --git a/tools/buildBabel.js b/tools/buildBabel.js
new file mode 100644
index 0000000000..e2ef5c66e2
--- /dev/null
+++ b/tools/buildBabel.js
@@ -0,0 +1,45 @@
+import { transform } from 'babel-core';
+import resolveRc from 'babel-core/lib/babel/tools/resolve-rc';
+import * as babelUtil from 'babel-core/lib/babel/util';
+import glob from 'glob';
+import fs from 'fs';
+import path from 'path';
+import outputFileSync from 'output-file-sync';
+
+export function buildContent(content, filename, destination, babelOptions={}) {
+  const result = transform(content, resolveRc(filename, babelOptions));
+  outputFileSync(destination, result.code, {encoding: 'utf8'});
+}
+
+export function buildFile(filename, destination, babelOptions={}) {
+  const content = fs.readFileSync(filename, {encoding: 'utf8'});
+  if(babelUtil.canCompile(filename)) {
+    // Get file basename without the extension (in case not .js)
+    let outputName = path.basename(filename, path.extname(filename));
+    // append the file basename with extension .js
+    let outputPath = path.join(destination, outputName + '.js');
+    // console.log('%s => %s', filename, outputPath);
+    buildContent(content, filename, outputPath, babelOptions);
+  }
+}
+
+export function buildFolder(folderPath, destination, babelOptions={}, firstFolder=true) {
+  let stats = fs.statSync(folderPath);
+
+  if(stats.isFile()) {
+    buildFile(folderPath, destination, babelOptions);
+  } else if(stats.isDirectory()) {
+    let outputPath = firstFolder ? destination : path.join(destination, path.basename(folderPath));
+    let files = fs.readdirSync(folderPath).map(file => path.join(folderPath, file));
+    files.forEach(filename => buildFolder(filename, outputPath, babelOptions, false));
+  }
+}
+
+export function buildGlob(filesGlob, destination, babelOptions={}) {
+  let files = glob.sync(filesGlob);
+  if (!files.length) {
+    files = [filesGlob];
+  }
+  files.forEach(filename => buildFolder(filename, destination, babelOptions, true));
+}
+
diff --git a/tools/generateFactories.js b/tools/generateFactories.js
index aac7a25344..edc05137c1 100644
--- a/tools/generateFactories.js
+++ b/tools/generateFactories.js
@@ -1,19 +1,19 @@
 import _ from 'lodash';
 import path from 'path';
 import fsp from 'fs-promise';
-import { exec } from './exec';
 import { srcRoot } from './constants';
 import components from './public-components';
+import { buildContent } from './buildBabel';
 
 const templatePath = path.join(srcRoot, 'templates');
 const factoryTemplatePath = path.join(templatePath, 'factory.js.template');
 const indexTemplatePath = path.join(templatePath, 'factory.index.js.template');
 
-export default function generateFactories(destination, babelOptions='') {
+export default function generateFactories(destination, babelOptions={}) {
 
   let generateCompiledFile = function (file, content) {
     let outpath = path.join(destination, `${file}.js`);
-    return exec(`babel ${babelOptions} --out-file ${outpath} <<EOF\n ${content}`);
+    buildContent(content, __dirname, outpath, babelOptions);
   };
 
   return Promise.all([
diff --git a/tools/lib/build.js b/tools/lib/build.js
index 432ffc76f3..aad468ce99 100644
--- a/tools/lib/build.js
+++ b/tools/lib/build.js
@@ -4,6 +4,7 @@ import path from 'path';
 import fsp from 'fs-promise';
 import { srcRoot, libRoot } from '../constants';
 import generateFactories from '../generateFactories';
+import { buildFolder } from '../buildBabel';
 
 const factoryDestination = path.join(libRoot, 'factories');
 
@@ -14,7 +15,7 @@ export default function BuildCommonJs() {
     .then(() => fsp.mkdirs(factoryDestination))
     .then(() => Promise.all([
       generateFactories(factoryDestination),
-      exec(`babel ${srcRoot} --out-dir ${libRoot}`)
+      buildFolder(srcRoot, libRoot)
     ]))
     .then(() => console.log('Built: '.cyan + 'npm module'.green));
 }