diff --git a/index.js b/index.js
index 10872dda..e5af8f03 100644
--- a/index.js
+++ b/index.js
@@ -9,22 +9,15 @@ module.exports = function(source, map) {
 
   try {
     let { code, map } = compile(source, {
-      // name: CamelCase component name
       filename: filename,
       format: query.format || 'es',
-      name: query.name,
-      onerror: (err) => {
-        console.log(err.message);
-        this.emitError(err.message);
-      },
-      onwarn: (warn) => {
-        console.log(warn.message);
-        this.emitWarn(warn.message);
-      }
+      name: query.name
     });
 
     this.callback(null, code, map);
   } catch (err) {
-    this.callback(err);
+    // wrap error to provide correct
+    // context when logging to console
+    this.callback(new Error(err.toString()));
   }
 };
diff --git a/test/fixtures/bad.html b/test/fixtures/bad.html
deleted file mode 100644
index 4481171c..00000000
--- a/test/fixtures/bad.html
+++ /dev/null
@@ -1,2 +0,0 @@
-<p>Count: {{count}}</p>
-<button on::click='set({ count: count + 1 })'>+1</button>
\ No newline at end of file
diff --git a/test/fixtures/export-error.html b/test/fixtures/export-error.html
new file mode 100644
index 00000000..52d97ad8
--- /dev/null
+++ b/test/fixtures/export-error.html
@@ -0,0 +1,7 @@
+<p>Count: {{count}}</p>
+
+<script>
+  export {
+    foo: 'BAR'
+  };
+</script>
\ No newline at end of file
diff --git a/test/fixtures/parse-error.html b/test/fixtures/parse-error.html
new file mode 100644
index 00000000..eaa6d49a
--- /dev/null
+++ b/test/fixtures/parse-error.html
@@ -0,0 +1,2 @@
+<p>Count: {{{count}}</p>
+<button on:click='set({ count: count + 1 })'>+1</button>
\ No newline at end of file
diff --git a/test/fixtures/validation-error.html b/test/fixtures/validation-error.html
new file mode 100644
index 00000000..e152e795
--- /dev/null
+++ b/test/fixtures/validation-error.html
@@ -0,0 +1,9 @@
+<p>Count: {{count}}</p>
+
+<script>
+  export default {
+    computed: {
+      foo: 'BAR'
+    }
+  };
+</script>
\ No newline at end of file
diff --git a/test/loader.spec.js b/test/loader.spec.js
index fc0b0c2e..4b34f42c 100644
--- a/test/loader.spec.js
+++ b/test/loader.spec.js
@@ -19,17 +19,17 @@ describe('loader', function() {
 
     return function() {
 
+      const fileContents = readFile(fileName);
+
       const cacheableSpy = spy(function() { });
 
       const callbackSpy = spy(callback);
 
-      const fileContents = readFile(fileName);
-
       loader.call({
         cacheable: cacheableSpy,
         callback: callbackSpy,
         filename: fileName,
-        query: query,
+        query,
       }, fileContents, null);
 
       expect(callbackSpy).to.have.been.called;
@@ -38,7 +38,7 @@ describe('loader', function() {
   }
 
 
-  it('should compile good',
+  it('should compile',
     testLoader('test/fixtures/good.html', function(err, code, map) {
       expect(err).not.to.exist;
 
@@ -48,57 +48,119 @@ describe('loader', function() {
   );
 
 
-  it('should compile bad',
-    testLoader('test/fixtures/bad.html', function(err, code, map) {
-      expect(err).to.exist;
+  describe('error handling', function() {
 
-      expect(code).not.to.exist;
-      expect(map).not.to.exist;
-    })
-  );
+    it('should handle parse error',
+      testLoader('test/fixtures/parse-error.html', function(err, code, map, context) {
 
+        expect(err).to.exist;
 
-  it('should compile with import / ES2015 features',
-    testLoader('test/fixtures/es2015.html', function(err, code, map) {
-      expect(err).not.to.exist;
+        expect(err.message).to.eql(
+          'Expected }}} (1:18)\n' +
+          '1: <p>Count: {{{count}}</p>\n' +
+          '                     ^\n' +
+          '2: <button on:click=\'set({ count: count + 1 })\'>+1</button>'
+        );
 
-      expect(code).to.exist;
-      expect(map).to.exist;
+        expect(code).not.to.exist;
+        expect(map).not.to.exist;
+      })
+    );
 
-      // es2015 statements remain
-      expect(code).to.contain('import { hello } from \'./utils\';');
-      expect(code).to.contain('data() {');
-    })
-  );
 
+    it('should handle wrong export',
+      testLoader('test/fixtures/export-error.html', function(err, code, map, context) {
 
-  it('should compile Component with with nesting',
-    testLoader('test/fixtures/parent.html', function(err, code, map) {
-      expect(err).not.to.exist;
+        expect(err).to.exist;
 
-      // es2015 statements remain
-      expect(code).to.contain('import Nested from \'./nested\';');
+        expect(err.message).to.eql(
+          'Unexpected token (5:7)\n' +
+          '3: <script>\n' +
+          '4:   export {\n' +
+          '5:     foo: \'BAR\'\n' +
+          '          ^\n' +
+          '6:   };\n' +
+          '7: </script>'
+        );
 
-      expect(code).to.exist;
-      expect(map).to.exist;
-    })
-  );
+        expect(code).not.to.exist;
+        expect(map).not.to.exist;
+      })
+    );
 
 
-  it('should compile Component to CJS if requested',
-    testLoader('test/fixtures/good.html', function(err, code, map) {
-      expect(err).not.to.exist;
-      expect(code).to.contain('module.exports = SvelteComponent;');
-    }, { format: 'cjs' })
-  );
+    it('should validation error',
+      testLoader('test/fixtures/validation-error.html', function(err, code, map, context) {
 
+        expect(err).to.exist;
 
-  it('should compile Component to UMD if requested',
-    testLoader('test/fixtures/good.html', function(err, code, map) {
-      expect(err).not.to.exist;
-      expect(code).to.contain('(global.FooComponent = factory());');
-    }, { format: 'umd', name: 'FooComponent' })
-  );
+        expect(err.message).to.eql(
+          'Computed properties can be function expressions or arrow function expressions (6:11)\n' +
+          '4:   export default {\n' +
+          '5:     computed: {\n' +
+          '6:       foo: \'BAR\'\n' +
+          '              ^\n' +
+          '7:     }\n' +
+          '8:   };'
+        );
+
+        expect(code).not.to.exist;
+        expect(map).not.to.exist;
+      })
+    );
+
+  });
+
+
+  describe('ES2015 features', function() {
+
+    it('should keep imports / methods',
+      testLoader('test/fixtures/es2015.html', function(err, code, map) {
+        expect(err).not.to.exist;
+
+        expect(code).to.exist;
+        expect(map).to.exist;
+
+        // es2015 statements remain
+        expect(code).to.contain('import { hello } from \'./utils\';');
+        expect(code).to.contain('data() {');
+      })
+    );
+
+
+    it('should keep nested Component import',
+      testLoader('test/fixtures/parent.html', function(err, code, map) {
+        expect(err).not.to.exist;
+
+        // es2015 statements remain
+        expect(code).to.contain('import Nested from \'./nested\';');
+
+        expect(code).to.exist;
+        expect(map).to.exist;
+      })
+    );
+
+  });
+
+
+  describe('configuration via query', function() {
+
+    it('should configure CommonJS output',
+      testLoader('test/fixtures/good.html', function(err, code, map) {
+        expect(err).not.to.exist;
+        expect(code).to.contain('module.exports = SvelteComponent;');
+      }, { format: 'cjs' })
+    );
+
+
+    it('should configure named UMD output',
+      testLoader('test/fixtures/good.html', function(err, code, map) {
+        expect(err).not.to.exist;
+        expect(code).to.contain('(global.FooComponent = factory());');
+      }, { format: 'umd', name: 'FooComponent' })
+    );
+
+  });
 
 });