Virtual environments are important in Python development because it makes sure the same program will function the same way on different computers.

1. cd to the project directory.
2. Install virtualenv by typing pip install virtualenv in the Terminal
3. Type virtualenv -p python3 venv to create your virtual environment.
4. Activate the virtualenv by typing source venv/bin/activate. You should see a (venv) at the beginning of command lines now.
5. Type pip install -r requirements.txt to install the libraries used by the program.
6. Now, run server.py to start the server by typing python server.py