For safety reasons, it's smart to place the chiminea in a location where the flames are visible from inside your house. With this in mind, obvious spaces would include a patio, deck, courtyard, etc. A chiminea works more effectively if its back faces a breeze or wind—which isn't always predictable, of course. For its funnel-like chimney to work properly, the chiminea needs to be set up straight and vertical. This positioning ensures sooting occurs inside the fire chamber.
Consider the surface upon which your chiminea will be placed. Concrete, brick, or stone patios are fire-safe paving choices. If your outdoor space is a wood deck or terrace, place fire-safe pavers across a small area to serve as a platform, or patio hearth. Place the chiminea on the hearth, and make sure there aren't eaves, a patio roof, or some type of overhead cover that could catch on fire.
Ideally, the wood should burn down to ashes in your chiminea. If necessary, the flames can be doused with buckets of water or low embers can be doused by using a shovel (not a garden trowel) and turning the sand/gravel mixture at the bottom of the pit.
Source: https://www.thespruce.com/what-is-a-chimenea-2736757