diff --git a/rpcs3/Crypto/unpkg.cpp b/rpcs3/Crypto/unpkg.cpp
index de23f5f1ba..a22676fa64 100644
--- a/rpcs3/Crypto/unpkg.cpp
+++ b/rpcs3/Crypto/unpkg.cpp
@@ -9,6 +9,7 @@
 #include "Emu/system_utils.hpp"
 #include "Emu/VFS.h"
 #include "unpkg.h"
+#include "unself.h"
 #include "util/sysinfo.hpp"
 #include "Loader/PSF.h"
 
@@ -47,12 +48,23 @@ package_reader::package_reader(const std::string& path, fs::file file)
 		return;
 	}
 
-	const bool param_sfo_found = read_param_sfo();
+	m_psf = psf::load_object(read_file("PARAM.SFO"), path + ":PARAM.SFO");
 
-	if (!param_sfo_found)
+	if (m_psf.empty())
 	{
 		pkg_log.notice("PKG does not contain a PARAM.SFO");
 	}
+
+	m_rap_file_path = get_rap_file_path_of_self(read_file("USRDIR/EBOOT.BIN"));
+
+	if (m_rap_file_path.empty())
+	{
+		pkg_log.notice("PKG needs a RAP file: %s", m_rap_file_path);
+	}
+	else
+	{
+		pkg_log.notice("PKG does not need a license file.");
+	}
 }
 
 package_reader::~package_reader()
@@ -577,13 +589,14 @@ bool package_reader::read_entries(std::vector<PKGEntry>& entries)
 	return true;
 }
 
-bool package_reader::read_param_sfo()
+fs::file package_reader::read_file(std::string_view relative_path)
 {
 	std::vector<PKGEntry> entries;
+	fs::file tmp;
 
 	if (!read_entries(entries))
 	{
-		return false;
+		return tmp;
 	}
 
 	std::vector<u8> data_buf;
@@ -609,13 +622,13 @@ bool package_reader::read_param_sfo()
 		std::string_view name = fmt::trim_back_sv(name_buf, "\0"sv);
 
 		// We're looking for the PARAM.SFO file, if there is any
-		if (usz ndelim = name.find_first_not_of('/'); ndelim == umax || name.substr(ndelim) != "PARAM.SFO")
+		if (usz ndelim = name.find_first_not_of('/'); ndelim == umax || name.substr(ndelim) != relative_path)
 		{
 			continue;
 		}
 
 		// Read the package's PARAM.SFO
-		fs::file tmp = fs::make_stream<std::vector<uchar>>();
+		tmp = fs::make_stream<std::vector<uchar>>();
 		{
 			for (u64 pos = 0; pos < entry.file_size; pos += BUF_SIZE)
 			{
@@ -625,32 +638,21 @@ bool package_reader::read_param_sfo()
 
 				if (decrypt(entry.file_offset + pos, block_size, is_psp ? PKG_AES_KEY2 : m_dec_key.data(), data_buf.data()) != block_size)
 				{
-					pkg_log.error("Failed to decrypt PARAM.SFO file");
-					return false;
+					pkg_log.error("Failed to decrypt %s file", relative_path);
+					tmp.close();
+					return tmp;
 				}
 
-				if (tmp.write(data_buf.data(), block_size) != block_size)
-				{
-					pkg_log.error("Failed to write to temporary PARAM.SFO file");
-					return false;
-				}
+				ensure(tmp.write(data_buf.data(), block_size) == block_size);
 			}
 
 			tmp.seek(0);
-
-			m_psf = psf::load_object(tmp, name);
-
-			if (m_psf.empty())
-			{
-				// Invalid
-				continue;
-			}
-
-			return true;
+			return tmp;
 		}
 	}
 
-	return false;
+	tmp.close();
+	return tmp;
 }
 
 // TODO: maybe also check if VERSION matches
diff --git a/rpcs3/Crypto/unpkg.h b/rpcs3/Crypto/unpkg.h
index 0b7971c07e..2c4233b47d 100644
--- a/rpcs3/Crypto/unpkg.h
+++ b/rpcs3/Crypto/unpkg.h
@@ -362,10 +362,15 @@ public:
 		return m_file;
 	}
 
+	const std::string& gep_needed_rap_file_path() const
+	{
+		return m_rap_file_path;
+	}
+
 private:
 	bool read_header();
 	bool read_metadata();
-	bool read_param_sfo();
+	fs::file read_file(std::string_view relative_path);
 	bool set_decryption_key();
 	bool read_entries(std::vector<PKGEntry>& entries);
 	void archive_seek(s64 new_offset, const fs::seek_mode damode = fs::seek_set);
@@ -401,4 +406,5 @@ private:
 
 	// Expose bootable file installed (if installed such)
 	std::string m_bootable_file_path;
+	std::string m_rap_file_path;
 };
diff --git a/rpcs3/Crypto/unself.cpp b/rpcs3/Crypto/unself.cpp
index 3c187400cb..b5df4d1c70 100644
--- a/rpcs3/Crypto/unself.cpp
+++ b/rpcs3/Crypto/unself.cpp
@@ -1068,6 +1068,37 @@ bool SELFDecrypter::DecryptNPDRM(u8 *metadata, u32 metadata_size)
 	return true;
 }
 
+std::string SELFDecrypter::GetRapFilePath()
+{
+	// Check if we have a valid NPDRM control info structure.
+	// If not, the data has no NPDRM layer.
+	const NPD_HEADER* npd = GetNPDHeader();
+	if (!npd)
+	{
+		self_log.trace("No NPDRM control info found!");
+		return {};
+	}
+
+	if (npd->license == 1)  // Network license.
+	{
+		return rpcs3::utils::get_rap_file_path(npd->content_id);
+	}
+	else if (npd->license == 2)  // Local license.
+	{
+		return rpcs3::utils::get_rap_file_path(npd->content_id);
+	}
+	else if (npd->license == 3)  // Free license.
+	{
+		//
+	}
+	else
+	{
+		self_log.error("Invalid NPDRM license type!");
+	}
+
+	return {};
+}
+
 const NPD_HEADER* SELFDecrypter::GetNPDHeader() const
 {
 	// Parse the control info structures to find the NPDRM control info.
@@ -1435,6 +1466,46 @@ fs::file decrypt_self(const fs::file& elf_or_self, const u8* klic_key, SelfAddit
 	return {};
 }
 
+std::string get_rap_file_path_of_self(const fs::file& elf_or_self)
+{
+	if (!elf_or_self)
+	{
+		return {};
+	}
+
+	elf_or_self.seek(0);
+
+	// Check SELF header first. Check for a debug SELF.
+	u32 file_type = umax;
+	elf_or_self.read_at(0, &file_type, sizeof(file_type));
+
+	if (file_type == "SCE\0"_u32)
+	{
+		if (fs::file res = CheckDebugSelf(elf_or_self))
+		{
+			return {};
+		}
+
+		// Check the ELF file class (32 or 64 bit).
+		const bool isElf32 = IsSelfElf32(elf_or_self);
+
+		// Start the decrypter on this SELF file.
+		SELFDecrypter self_dec(elf_or_self);
+
+		// Load the SELF file headers.
+		if (!self_dec.LoadHeaders(isElf32, nullptr))
+		{
+			self_log.error("Failed to load SELF file headers!");
+			return {};
+		}
+
+		// Load and decrypt the SELF file metadata.
+		return self_dec.GetRapFilePath();
+	}
+
+	return {};
+}
+
 bool verify_npdrm_self_headers(const fs::file& self, u8* klic_key, NPD_HEADER* npd_out)
 {
 	if (!self)
diff --git a/rpcs3/Crypto/unself.h b/rpcs3/Crypto/unself.h
index 1279bc961d..0869fb4eca 100644
--- a/rpcs3/Crypto/unself.h
+++ b/rpcs3/Crypto/unself.h
@@ -481,6 +481,7 @@ public:
 	bool DecryptNPDRM(u8 *metadata, u32 metadata_size);
 	const NPD_HEADER* GetNPDHeader() const;
 	static bool GetKeyFromRap(const char *content_id, u8 *npdrm_key);
+	std::string GetRapFilePath();
 
 private:
 	template<typename EHdr, typename SHdr, typename PHdr>
@@ -562,5 +563,6 @@ private:
 fs::file decrypt_self(const fs::file& elf_or_self, const u8* klic_key = nullptr, SelfAdditionalInfo* additional_info = nullptr);
 bool verify_npdrm_self_headers(const fs::file& self, u8* klic_key = nullptr, NPD_HEADER* npd_out = nullptr);
 bool get_npdrm_self_header(const fs::file& self, NPD_HEADER& npd);
+std::string get_rap_file_path_of_self(const fs::file& elf_or_self);
 
 u128 get_default_self_klic();
diff --git a/rpcs3/rpcs3qt/main_window.cpp b/rpcs3/rpcs3qt/main_window.cpp
index 80d71a44c2..b5e3591f7d 100644
--- a/rpcs3/rpcs3qt/main_window.cpp
+++ b/rpcs3/rpcs3qt/main_window.cpp
@@ -909,7 +909,7 @@ bool main_window::InstallPackages(QStringList file_paths, bool from_boot)
 	// Install rap files if available
 	int installed_rap_and_edat_count = 0;
 
-	const auto install_filetype = [&installed_rap_and_edat_count, &file_paths](const std::string extension)
+	const auto install_filetype = [this, &installed_rap_and_edat_count, &file_paths](const std::string extension)
 	{
 		const QString pattern = QString(".*\\.%1").arg(QString::fromStdString(extension));
 		for (const QString& file : file_paths.filter(QRegularExpression(pattern, QRegularExpression::PatternOption::CaseInsensitiveOption)))
@@ -919,6 +919,13 @@ bool main_window::InstallPackages(QStringList file_paths, bool from_boot)
 
 			if (InstallFileInExData(extension, file, filename))
 			{
+				if (filename == last_rap_file_needed_for_pkg)
+				{
+					file_paths.append(last_pkg_path_postponed_due_to_missing_rap);
+					last_rap_file_needed_for_pkg = {};
+					last_pkg_path_postponed_due_to_missing_rap = {};
+				}
+
 				gui_log.success("Successfully copied %s file: %s", extension, filename);
 				installed_rap_and_edat_count++;
 			}
@@ -1022,10 +1029,6 @@ bool main_window::HandlePackageInstallation(QStringList file_paths, bool from_bo
 	}
 	gui_log.notice("About to install packages:\n%s", fmt::merge(path_vec, "\n"));
 
-	progress_dialog pdlg(tr("RPCS3 Package Installer"), tr("Installing package, please wait..."), tr("Cancel"), 0, 1000, false, this);
-	pdlg.setAutoClose(false);
-	pdlg.show();
-
 	package_install_result result = {};
 
 	auto get_app_info = [](compat::package_info& package)
@@ -1064,6 +1067,53 @@ bool main_window::HandlePackageInstallation(QStringList file_paths, bool from_bo
 		readers.emplace_back(info.path.toStdString());
 	}
 
+	std::string missing_licenses;
+	std::string missing_licenses_short;
+
+	for (const auto& reader : readers)
+	{
+		if (std::string filepath = reader.gep_needed_rap_file_path(); !filepath.empty() && fs::is_file(filepath))
+		{
+			missing_licenses += filepath;
+			missing_licenses += "\n";
+
+			if (std::count(missing_licenses_short.begin(), missing_licenses_short.end(), '\n') < 5)
+			{
+				missing_licenses_short += std::string_view(filepath).substr(filepath.find_last_of(fs::delim) + 1);
+				missing_licenses_short += "\n";
+			}
+		}
+	}
+
+	if (!missing_licenses.empty())
+	{
+		gui_log.fatal("Failed to locate the game license file(s):\n%s"
+				  "\nEnsure the .rap license file is placed in the dev_hdd0/home/%s/exdata folder with a lowercase file extension."
+				  "\nIf you need assistance on dumping the license file from your PS3, read our quickstart guide: https://rpcs3.net/quickstart", missing_licenses, Emu.GetUsr());
+
+		QString error = tr("Failed to locate the game license file(s):\n\n%1\nEnsure the .rap license file(s) are placed in the dev_hdd0 folder with a lowercase file extension.").arg(QString::fromStdString(missing_licenses_short));
+
+		QMessageBox* mb = new QMessageBox(QMessageBox::Warning, tr("PKG Installer: Missing License(s) For PKG(s)"), error, QMessageBox::Ok, this, Qt::Dialog | Qt::MSWindowsFixedSizeDialogHint | Qt::WindowStaysOnTopHint);
+		mb->setAttribute(Qt::WA_DeleteOnClose);
+		mb->open();
+
+		if (readers.size() == 1)
+		{
+			last_pkg_path_postponed_due_to_missing_rap = packages[0].path;
+			missing_licenses_short.pop_back(); // Remove newline
+			last_rap_file_needed_for_pkg = QString::fromStdString(missing_licenses_short);
+		}
+
+		return false;
+	}
+
+	last_pkg_path_postponed_due_to_missing_rap = {};
+	last_rap_file_needed_for_pkg = {};
+
+	progress_dialog pdlg(tr("RPCS3 Package Installer"), tr("Installing package, please wait..."), tr("Cancel"), 0, 1000, false, this);
+	pdlg.setAutoClose(false);
+	pdlg.show();
+
 	std::deque<std::string> bootable_paths;
 
 	// Run PKG unpacking asynchronously
diff --git a/rpcs3/rpcs3qt/main_window.h b/rpcs3/rpcs3qt/main_window.h
index 960a70c722..cc9eb24399 100644
--- a/rpcs3/rpcs3qt/main_window.h
+++ b/rpcs3/rpcs3qt/main_window.h
@@ -51,6 +51,9 @@ class main_window : public QMainWindow
 	int m_other_slider_pos = 0;
 	std::function<void()> m_notify_batch_game_action_cb;
 
+	QString last_pkg_path_postponed_due_to_missing_rap;
+	QString last_rap_file_needed_for_pkg;
+
 	QIcon m_app_icon;
 	QIcon m_icon_play;
 	QIcon m_icon_pause;