diff --git a/cmd/ova-provider-server/ova-provider-server.go b/cmd/ova-provider-server/ova-provider-server.go
index 1d5fab08d..895306a81 100644
--- a/cmd/ova-provider-server/ova-provider-server.go
+++ b/cmd/ova-provider-server/ova-provider-server.go
@@ -23,6 +23,8 @@ import (
 const (
 	invalidRequestMethodMsg = "Invalid request method"
 	errorProcessingOvfMsg   = "Error processing OVF file"
+	OvaExt                  = ".ova"
+	OvfExt                  = ".ovf"
 )
 
 // xml struct
@@ -299,28 +301,56 @@ func findOVAFiles(directory string) ([]string, []string, error) {
 	}
 
 	var ovaFiles, ovfFiles []string
+
+	// Check for .ova files in the main directory (zero level)
+	for _, child := range childs {
+		path := filepath.Join(directory, child.Name())
+		if hasSuffixIgnoreCase(child.Name(), OvaExt) {
+			ovaFiles = append(ovaFiles, path)
+		}
+	}
+
+	// Check for .ova and .ovf files in child directories (first level)
 	for _, child := range childs {
 		if !child.IsDir() {
 			continue
 		}
-		newDir := directory + "/" + child.Name()
+		newDir := filepath.Join(directory, child.Name())
 		files, err := os.ReadDir(newDir)
 		if err != nil {
 			return nil, nil, err
 		}
 		for _, file := range files {
-			path := filepath.Join(directory, child.Name(), file.Name())
+			path := filepath.Join(newDir, file.Name())
 			switch {
-			case strings.HasSuffix(strings.ToLower(file.Name()), ".ova"):
+			case hasSuffixIgnoreCase(file.Name(), OvaExt):
 				ovaFiles = append(ovaFiles, path)
-			case strings.HasSuffix(strings.ToLower(file.Name()), ".ovf"):
+			case hasSuffixIgnoreCase(file.Name(), OvfExt):
 				ovfFiles = append(ovfFiles, path)
+			case file.IsDir():
+				// Check for .ovf files in subdirectories (second level)
+				subDir := filepath.Join(newDir, file.Name())
+				subFiles, err := os.ReadDir(subDir)
+				if err != nil {
+					continue
+				}
+				for _, subFile := range subFiles {
+					subPath := filepath.Join(subDir, subFile.Name())
+					if hasSuffixIgnoreCase(subFile.Name(), OvfExt) {
+						ovfFiles = append(ovfFiles, subPath)
+					}
+				}
 			}
 		}
 	}
 	return ovaFiles, ovfFiles, nil
 }
 
+// Checks if the given file has the desired extension
+func hasSuffixIgnoreCase(fileName, suffix string) bool {
+	return strings.HasSuffix(strings.ToLower(fileName), strings.ToLower(suffix))
+}
+
 func readOVFFromOVA(ovaFile string) (*Envelope, error) {
 	var envelope Envelope
 	file, err := os.Open(ovaFile)