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Guess the question says it all.

We have developed a library in C#, and now I wish to create a project template to aid in using the library correctly.

I want new projects to include a reference to the library assembly, but would prefer not to have to deploy the assembly to the GAC, or to depend on the assembly residing in some specific location.

What I am thinking is to include the .dll in the project template .zip file. That means it will end up somewhere inside the project folder of new projects. Perhaps in a folder named Lib. Then the reference hint in the project file can point to that folder. Is that a good idea? What problems might I face down the road?

Is there perhaps some mechanism for including such 3rd party libraries in project templates that I'm not aware of? How have you tackled this? Surely I'm not the first.