diff --git a/agentops/sdk/decorators/factory.py b/agentops/sdk/decorators/factory.py
index 83e709f23..13b09789d 100644
--- a/agentops/sdk/decorators/factory.py
+++ b/agentops/sdk/decorators/factory.py
@@ -38,7 +38,6 @@ def decorator(wrapped=None, *, name=None, version=None):
             # Create a proxy class that wraps the original class
             class WrappedClass(wrapped):
                 def __init__(self, *args, **kwargs):
-                    # Start span when instance is created
                     operation_name = name or wrapped.__name__
                     self._agentops_span_context_manager = _create_as_current_span(operation_name, entity_kind, version)
                     self._agentops_active_span = self._agentops_span_context_manager.__enter__()
@@ -51,15 +50,34 @@ def __init__(self, *args, **kwargs):
                     # Call the original __init__
                     super().__init__(*args, **kwargs)
 
-                def __del__(self):
-                    # End span when instance is destroyed
+                async def __aenter__(self):
+                    # Added for async context manager support
+                    # This allows using the class with 'async with' statement
+
+                    # If span is already created in __init__, just return self
+                    if hasattr(self, "_agentops_active_span") and self._agentops_active_span is not None:
+                        return self
+
+                    # Otherwise create span (for backward compatibility)
+                    operation_name = name or wrapped.__name__
+                    self._agentops_span_context_manager = _create_as_current_span(operation_name, entity_kind, version)
+                    self._agentops_active_span = self._agentops_span_context_manager.__enter__()
+                    return self
+
+                async def __aexit__(self, exc_type, exc_val, exc_tb):
+                    # Added for proper async cleanup
+                    # This ensures spans are properly closed when using 'async with'
+
                     if hasattr(self, "_agentops_active_span") and hasattr(self, "_agentops_span_context_manager"):
                         try:
                             _record_entity_output(self._agentops_active_span, self)
                         except Exception as e:
                             logger.warning(f"Failed to record entity output: {e}")
 
-                        self._agentops_span_context_manager.__exit__(None, None, None)
+                        self._agentops_span_context_manager.__exit__(exc_type, exc_val, exc_tb)
+                        # Clear the span references after cleanup
+                        self._agentops_span_context_manager = None
+                        self._agentops_active_span = None
 
             # Preserve metadata of the original class
             WrappedClass.__name__ = wrapped.__name__
@@ -136,11 +154,13 @@ async def _wrapped_async():
                 with _create_as_current_span(operation_name, entity_kind, version) as span:
                     try:
                         _record_entity_input(span, args, kwargs)
+
                     except Exception as e:
                         logger.warning(f"Failed to record entity input: {e}")
 
                     try:
                         result = wrapped(*args, **kwargs)
+
                         try:
                             _record_entity_output(span, result)
                         except Exception as e:
diff --git a/tests/unit/sdk/test_decorators.py b/tests/unit/sdk/test_decorators.py
index e6ae1dad1..98f1cd402 100644
--- a/tests/unit/sdk/test_decorators.py
+++ b/tests/unit/sdk/test_decorators.py
@@ -1,11 +1,12 @@
 from typing import AsyncGenerator
 import asyncio
-
+import pytest
 
 from agentops.sdk.decorators import agent, operation, session, workflow, task
 from agentops.semconv import SpanKind
 from agentops.semconv.span_attributes import SpanAttributes
 from tests.unit.sdk.instrumentation_tester import InstrumentationTester
+from agentops.sdk.decorators.factory import create_entity_decorator
 
 
 class TestSpanNesting:
@@ -600,3 +601,26 @@ def test_workflow_session():
         assert transform_task.parent is not None
         assert workflow_span.context is not None
         assert transform_task.parent.span_id == workflow_span.context.span_id
+
+
+@pytest.mark.asyncio
+async def test_async_context_manager():
+    """
+    Tests async context manager functionality (__aenter__, __aexit__).
+    """
+
+    # Create a simple decorated class
+    @create_entity_decorator("test")
+    class TestClass:
+        def __init__(self):
+            self.value = 42
+
+    # Cover __aenter__ and __aexit__ (normal exit)
+    async with TestClass() as instance:
+        assert hasattr(instance, "_agentops_active_span")
+        assert instance._agentops_active_span is not None
+
+    # Cover __aenter__ and __aexit__ (exceptional exit)
+    with pytest.raises(ValueError):
+        async with TestClass() as instance:
+            raise ValueError("Trigger exception for __aexit__ coverage")