diff --git a/node_package/src/isServerRenderResult.ts b/node_package/src/isServerRenderResult.ts
index 3b7db625a..88f9cf5be 100644
--- a/node_package/src/isServerRenderResult.ts
+++ b/node_package/src/isServerRenderResult.ts
@@ -9,7 +9,7 @@ export function isServerRenderHash(testValue: CreateReactOutputResult):
     (testValue as ServerRenderResult).error);
 }
 
-export function isPromise(testValue: CreateReactOutputResult):
-  testValue is Promise<string> {
-  return !!((testValue as Promise<string>).then);
+export function isPromise<T>(testValue: CreateReactOutputResult | Promise<T> | string | null):
+  testValue is Promise<T> {
+  return !!((testValue as Promise<T> | null)?.then);
 }
diff --git a/node_package/src/serverRenderReactComponent.ts b/node_package/src/serverRenderReactComponent.ts
index 5a518e3bf..fec68e231 100644
--- a/node_package/src/serverRenderReactComponent.ts
+++ b/node_package/src/serverRenderReactComponent.ts
@@ -6,154 +6,180 @@ import createReactOutput from './createReactOutput';
 import { isPromise, isServerRenderHash } from './isServerRenderResult';
 import buildConsoleReplay from './buildConsoleReplay';
 import handleError from './handleError';
-import type { RenderParams, RenderResult, RenderingError, ServerRenderResult } from './types';
+import type { CreateReactOutputResult, RegisteredComponent, RenderParams, RenderResult, RenderingError, ServerRenderResult } from './types';
 
-/* eslint-disable @typescript-eslint/no-explicit-any */
+type RenderState = {
+  result: null | string | Promise<string>;
+  hasErrors: boolean;
+  error?: RenderingError;
+};
 
-function serverRenderReactComponentInternal(options: RenderParams): null | string | Promise<RenderResult> {
-  const { name, domNodeId, trace, props, railsContext, renderingReturnsPromises, throwJsErrors } = options;
+type RenderOptions = {
+  componentName: string;
+  domNodeId?: string;
+  trace?: boolean;
+  renderingReturnsPromises: boolean;
+};
 
-  let renderResult: null | string | Promise<string> = null;
-  let hasErrors = false;
-  let renderingError: null | RenderingError = null;
+function validateComponent(componentObj: RegisteredComponent, componentName: string) {
+  if (componentObj.isRenderer) {
+    throw new Error(`Detected a renderer while server rendering component '${componentName}'. See https://github.com/shakacode/react_on_rails#renderer-functions`);
+  }
+}
 
-  try {
-    const componentObj = ComponentRegistry.get(name);
-    if (componentObj.isRenderer) {
-      throw new Error(`\
-Detected a renderer while server rendering component '${name}'. \
-See https://github.com/shakacode/react_on_rails#renderer-functions`);
+function processServerRenderHash(result: ServerRenderResult, options: RenderOptions): RenderState {
+  const { redirectLocation, routeError } = result;
+  const hasErrors = !!routeError;
+
+  if (hasErrors) {
+    console.error(`React Router ERROR: ${JSON.stringify(routeError)}`);
+  }
+
+  let htmlResult: string;
+  if (redirectLocation) {
+    if (options.trace) {
+      const redirectPath = redirectLocation.pathname + redirectLocation.search;
+      console.log(`ROUTER REDIRECT: ${options.componentName} to dom node with id: ${options.domNodeId}, redirect to ${redirectPath}`);
     }
+    // For redirects on server rendering, we can't stop Rails from returning the same result.
+    // Possibly, someday, we could have the Rails server redirect.
+    htmlResult = '';
+  } else {
+    htmlResult = result.renderedHtml as string;
+  }
 
-    const reactRenderingResult = createReactOutput({
-      componentObj,
-      domNodeId,
-      trace,
-      props,
-      railsContext,
-    });
-
-    const processServerRenderHash = () => {
-      // We let the client side handle any redirect
-      // Set hasErrors in case we want to throw a Rails exception
-      const { redirectLocation, routeError } = reactRenderingResult as ServerRenderResult;
-      hasErrors = !!routeError;
-
-      if (hasErrors) {
-        console.error(
-          `React Router ERROR: ${JSON.stringify(routeError)}`,
-        );
-      }
-
-      if (redirectLocation) {
-        if (trace) {
-          const redirectPath = redirectLocation.pathname + redirectLocation.search;
-          console.log(`\
-  ROUTER REDIRECT: ${name} to dom node with id: ${domNodeId}, redirect to ${redirectPath}`,
-          );
-        }
-        // For redirects on server rendering, we can't stop Rails from returning the same result.
-        // Possibly, someday, we could have the rails server redirect.
-        return '';
-      }
-      return (reactRenderingResult as ServerRenderResult).renderedHtml as string;
-    };
-
-    const processPromise = () => {
-      if (!renderingReturnsPromises) {
-        console.error('Your render function returned a Promise, which is only supported by a node renderer, not ExecJS.');
-      }
-      return reactRenderingResult;
-    };
-
-    const processReactElement = () => {
-      try {
-        return ReactDOMServer.renderToString(reactRenderingResult as ReactElement);
-      } catch (error) {
-        console.error(`Invalid call to renderToString. Possibly you have a renderFunction, a function that already
+  return { result: htmlResult, hasErrors };
+}
+
+function processPromise(result: Promise<string>, renderingReturnsPromises: boolean): Promise<string> | string {
+  if (!renderingReturnsPromises) {
+    console.error('Your render function returned a Promise, which is only supported by a node renderer, not ExecJS.');
+    // If the app is using server rendering with ExecJS, then the promise will not be awaited.
+    // And when a promise is passed to JSON.stringify, it will be converted to '{}'.
+    return '{}';
+  }
+  return result;
+}
+
+function processReactElement(result: ReactElement): string {
+  try {
+    return ReactDOMServer.renderToString(result);
+  } catch (error) {
+    console.error(`Invalid call to renderToString. Possibly you have a renderFunction, a function that already
 calls renderToString, that takes one parameter. You need to add an extra unused parameter to identify this function
 as a renderFunction and not a simple React Function Component.`);
-        throw error;
-      }
-    };
-
-    if (isServerRenderHash(reactRenderingResult)) {
-      renderResult = processServerRenderHash();
-    } else if (isPromise(reactRenderingResult)) {
-      renderResult = processPromise() as Promise<string>;
-    } else {
-      renderResult = processReactElement();
-    }
-  } catch (e: any) {
-    if (throwJsErrors) {
-      throw e;
-    }
+    throw error;
+  }
+}
+
+function processRenderingResult(result: CreateReactOutputResult, options: RenderOptions): RenderState {
+  if (isServerRenderHash(result)) {
+    return processServerRenderHash(result, options);
+  }
+  if (isPromise(result)) {
+    return { result: processPromise(result, options.renderingReturnsPromises), hasErrors: false };
+  }
+  return { result: processReactElement(result), hasErrors: false };
+}
 
-    hasErrors = true;
-    renderResult = handleError({
-      e,
-      name,
-      serverSide: true,
-    });
-    renderingError = e;
+function handleRenderingError(e: unknown, options: { componentName: string, throwJsErrors: boolean }) {
+  if (options.throwJsErrors) {
+    throw e;
   }
+  const error = e instanceof Error ? e : new Error(String(e));
+  return {
+    hasErrors: true,
+    result: handleError({ e: error, name: options.componentName, serverSide: true }),
+    error,
+  };
+}
 
-  const consoleReplayScript = buildConsoleReplay();
-  const addRenderingErrors = (resultObject: RenderResult, renderError: RenderingError) => {
-    // Do not use `resultObject.renderingError = renderError` because JSON.stringify will turn it into '{}'.
-    resultObject.renderingError = { // eslint-disable-line no-param-reassign
-      message: renderError.message,
-      stack: renderError.stack,
-    };
+function createResultObject(html: string | null, consoleReplayScript: string, renderState: RenderState): RenderResult {
+  return {
+    html,
+    consoleReplayScript,
+    hasErrors: renderState.hasErrors,
+    renderingError: renderState.error && { message: renderState.error.message, stack: renderState.error.stack },
   };
+}
 
-  if (renderingReturnsPromises) {
-    const resolveRenderResult = async () => {
-      let promiseResult: RenderResult;
-
-      try {
-        promiseResult = {
-          html: await renderResult,
-          consoleReplayScript,
-          hasErrors,
-        };
-      } catch (e: any) {
-        if (throwJsErrors) {
-          throw e;
-        }
-        promiseResult = {
-          html: handleError({
-            e,
-            name,
-            serverSide: true,
-          }),
-          consoleReplayScript,
-          hasErrors: true,
-        };
-        renderingError = e;
-      }
-
-      if (renderingError !== null) {
-        addRenderingErrors(promiseResult, renderingError);
-      }
-
-      return promiseResult;
-    };
-
-    return resolveRenderResult();
+async function createPromiseResult(
+  renderState: RenderState & { result: Promise<string> },
+  consoleReplayScript: string,
+  componentName: string,
+  throwJsErrors: boolean
+): Promise<RenderResult> {
+  try {
+    const html = await renderState.result;
+    return createResultObject(html, consoleReplayScript, renderState);
+  } catch (e: unknown) {
+    const errorRenderState = handleRenderingError(e, { componentName, throwJsErrors });
+    return createResultObject(errorRenderState.result, consoleReplayScript, errorRenderState);
   }
+}
 
-  const result: RenderResult = {
-    html: renderResult as string,
-    consoleReplayScript,
-    hasErrors,
+function createFinalResult(
+  renderState: RenderState,
+  componentName: string,
+  throwJsErrors: boolean
+): null | string | Promise<RenderResult> {
+  // Console history is stored globally in `console.history`.
+  // If node renderer is handling a render request that returns a promise,
+  // It can handle another request while awaiting the promise.
+  // To prevent cross-request console logs leakage between these requests,
+  // we build the consoleReplayScript before awaiting any promises.
+  // The console history is reset after the synchronous part of each request.
+  // This causes console logs happening during async operations to not be captured.
+  const consoleReplayScript = buildConsoleReplay();
+
+  const { result } = renderState;
+  if (isPromise(result)) {
+    return createPromiseResult({ ...renderState, result }, consoleReplayScript, componentName, throwJsErrors);
+  }
+
+  return JSON.stringify(createResultObject(result, consoleReplayScript, renderState));
+}
+
+function serverRenderReactComponentInternal(options: RenderParams): null | string | Promise<RenderResult> {
+  const { name: componentName, domNodeId, trace, props, railsContext, renderingReturnsPromises, throwJsErrors } = options;
+
+  let renderState: RenderState = {
+    result: null,
+    hasErrors: false,
   };
 
-  if (renderingError) {
-    addRenderingErrors(result, renderingError);
+  try {
+    const componentObj = ComponentRegistry.get(componentName);
+    validateComponent(componentObj, componentName);
+
+    // Renders the component or executes the render function
+    // - If the registered component is a React element or component, it renders it
+    // - If it's a render function, it executes the function and processes the result:
+    //   - For React elements or components, it renders them
+    //   - For promises, it returns them without awaiting (for async rendering)
+    //   - For other values (e.g., strings), it returns them directly
+    // Note: Only synchronous operations are performed at this stage
+    const reactRenderingResult = createReactOutput({ componentObj, domNodeId, trace, props, railsContext });
+
+    // Processes the result from createReactOutput:
+    // 1. Converts React elements to HTML strings
+    // 2. Returns rendered HTML from serverRenderHash
+    // 3. Handles promises for async rendering
+    renderState = processRenderingResult(reactRenderingResult, { componentName, domNodeId, trace, renderingReturnsPromises });
+  } catch (e: unknown) {
+    renderState = handleRenderingError(e, { componentName, throwJsErrors });
   }
 
-  return JSON.stringify(result);
+  // Finalize the rendering result and prepare it for server response
+  // 1. Builds the consoleReplayScript for client-side console replay
+  // 2. Extract the result from promise (if needed) by awaiting it
+  // 3. Constructs a JSON object with the following properties:
+  //    - html: string | null (The rendered component HTML)
+  //    - consoleReplayScript: string (Script to replay console outputs on the client)
+  //    - hasErrors: boolean (Indicates if any errors occurred during rendering)
+  //    - renderingError: Error | null (The error object if an error occurred, null otherwise)
+  // 4. For Promise results, it awaits resolution before creating the final JSON
+  return createFinalResult(renderState, componentName, throwJsErrors);
 }
 
 const serverRenderReactComponent: typeof serverRenderReactComponentInternal = (options) => {
@@ -165,4 +191,5 @@ const serverRenderReactComponent: typeof serverRenderReactComponentInternal = (o
     console.history = [];
   }
 };
+
 export default serverRenderReactComponent;
diff --git a/node_package/src/types/index.ts b/node_package/src/types/index.ts
index a952b4b15..d2e129db5 100644
--- a/node_package/src/types/index.ts
+++ b/node_package/src/types/index.ts
@@ -43,6 +43,30 @@ type CreateReactOutputResult = ServerRenderResult | ReactElement | Promise<strin
 
 type RenderFunctionResult = ReactComponent | ServerRenderResult | Promise<string>;
 
+/**
+ * Render functions are used to create dynamic React components or server-rendered HTML with side effects.
+ * They receive two arguments: props and railsContext.
+ * 
+ * @param props - The component props passed to the render function
+ * @param railsContext - The Rails context object containing environment information
+ * @returns A string, React component, React element, or a Promise resolving to a string
+ * 
+ * @remarks
+ * To distinguish a render function from a React Function Component:
+ * 1. Ensure it accepts two parameters (props and railsContext), even if railsContext is unused, or
+ * 2. Set the `renderFunction` property to `true` on the function object.
+ * 
+ * If neither condition is met, it will be treated as a React Function Component,
+ * and ReactDOMServer will attempt to render it.
+ * 
+ * @example
+ * // Option 1: Two-parameter function
+ * const renderFunction = (props, railsContext) => { ... };
+ * 
+ * // Option 2: Using renderFunction property
+ * const anotherRenderFunction = (props) => { ... };
+ * anotherRenderFunction.renderFunction = true;
+ */
 interface RenderFunction {
   (props?: any, railsContext?: RailsContext, domNodeId?: string): RenderFunctionResult;
   // We allow specifying that the function is RenderFunction and not a React Function Component
@@ -67,7 +91,15 @@ export type { // eslint-disable-line import/prefer-default-export
 export interface RegisteredComponent {
   name: string;
   component: ReactComponentOrRenderFunction;
+  /**
+   * Indicates if the registered component is a RenderFunction
+   * @see RenderFunction for more details on its behavior and usage.
+   */
   renderFunction: boolean;
+  // Indicates if the registered component is a Renderer function.
+  // Renderer function handles DOM rendering or hydration with 3 args: (props, railsContext, domNodeId)
+  // Supported on the client side only.
+  // All renderer functions are render functions, but not all render functions are renderer functions.
   isRenderer: boolean;
 }