diff --git a/tests/test_create_connect.py b/tests/test_create_connect.py
new file mode 100644
index 0000000..fb390e3
--- /dev/null
+++ b/tests/test_create_connect.py
@@ -0,0 +1,132 @@
+import unittest
+import aiosocks
+import asyncio
+from unittest import mock
+
+try:
+    from asyncio import ensure_future
+except ImportError:
+    ensure_future = asyncio.async
+
+
+class TestCreateConnection(unittest.TestCase):
+    def setUp(self):
+        self.loop = asyncio.new_event_loop()
+        asyncio.set_event_loop(None)
+
+    def tearDown(self):
+        self.loop.close()
+
+    def _fake_coroutine(self, return_value):
+        def coro(*args, **kwargs):
+            if isinstance(return_value, Exception):
+                raise return_value
+            return return_value
+
+        return mock.Mock(side_effect=asyncio.coroutine(coro))
+
+    def test_init(self):
+        addr = aiosocks.Socks5Addr('localhost')
+        auth = aiosocks.Socks5Auth('usr', 'pwd')
+        dst = ('python.org', 80)
+
+        # proxy argument
+        with self.assertRaises(AssertionError) as ct:
+            conn = aiosocks.create_connection(None, None, auth, dst)
+            self.loop.run_until_complete(conn)
+        self.assertEqual(str(ct.exception),
+                         'proxy must be Socks4Addr() or Socks5Addr() tuple')
+
+        with self.assertRaises(AssertionError) as ct:
+            conn = aiosocks.create_connection(None, auth, auth, dst)
+            self.loop.run_until_complete(conn)
+        self.assertEqual(str(ct.exception),
+                         'proxy must be Socks4Addr() or Socks5Addr() tuple')
+
+        # proxy_auth
+        with self.assertRaises(AssertionError) as ct:
+            conn = aiosocks.create_connection(None, addr, addr, dst)
+            self.loop.run_until_complete(conn)
+        self.assertIn('proxy_auth must be None or Socks4Auth()',
+                      str(ct.exception))
+
+        # dst
+        with self.assertRaises(AssertionError) as ct:
+            conn = aiosocks.create_connection(None, addr, auth, None)
+            self.loop.run_until_complete(conn)
+        self.assertIn('invalid dst format, tuple("dst_host", dst_port))',
+                      str(ct.exception))
+
+        # addr and auth compatibility
+        with self.assertRaises(ValueError) as ct:
+            conn = aiosocks.create_connection(
+                None, addr, aiosocks.Socks4Auth(''), dst
+            )
+            self.loop.run_until_complete(conn)
+        self.assertIn('proxy is Socks5Addr but proxy_auth is not Socks5Auth',
+                      str(ct.exception))
+
+        with self.assertRaises(ValueError) as ct:
+            conn = aiosocks.create_connection(
+                None, aiosocks.Socks4Addr(''), auth, dst
+            )
+            self.loop.run_until_complete(conn)
+        self.assertIn('proxy is Socks4Addr but proxy_auth is not Socks4Auth',
+                      str(ct.exception))
+
+    def test_connection_fail(self):
+        addr = aiosocks.Socks5Addr('localhost')
+        auth = aiosocks.Socks5Auth('usr', 'pwd')
+        dst = ('python.org', 80)
+
+        loop_mock = mock.Mock()
+        loop_mock.create_connection = self._fake_coroutine(OSError())
+
+        with self.assertRaises(aiosocks.SocksConnectionError):
+            conn = aiosocks.create_connection(
+                None, addr, auth, dst, loop=loop_mock
+            )
+            self.loop.run_until_complete(conn)
+
+    def test_negotiate_fail(self):
+        addr = aiosocks.Socks5Addr('localhost')
+        auth = aiosocks.Socks5Auth('usr', 'pwd')
+        dst = ('python.org', 80)
+
+        transp, proto = mock.Mock(), mock.Mock()
+        proto.negotiate_done = self._fake_coroutine(aiosocks.SocksError())
+
+        loop_mock = mock.Mock()
+        loop_mock.create_connection = self._fake_coroutine((transp, proto))
+
+        with self.assertRaises(aiosocks.SocksError) as ct:
+            conn = aiosocks.create_connection(
+                None, addr, auth, dst, loop=loop_mock
+            )
+            self.loop.run_until_complete(conn)
+        self.assertIn('Can not connect to python.org:80',
+                      str(ct.exception))
+
+    def test_create_protocol(self):
+        addr = aiosocks.Socks5Addr('localhost')
+        auth = aiosocks.Socks5Auth('usr', 'pwd')
+        dst = ('python.org', 80)
+
+        transp, proto = mock.Mock(), mock.Mock()
+        proto.negotiate_done = self._fake_coroutine(True)
+
+        loop_mock = mock.Mock()
+        loop_mock.create_connection = self._fake_coroutine((transp, proto))
+
+        user_proto = mock.Mock()
+
+        conn = aiosocks.create_connection(
+            lambda: user_proto, addr, auth, dst, loop=loop_mock
+        )
+        fut = ensure_future(conn, loop=self.loop)
+        self.loop.run_until_complete(fut)
+
+        transport, protocol = fut.result()
+        self.assertIs(transport, transp)
+        self.assertIs(protocol, user_proto)
+        self.assertIs(transport._protocol, user_proto)