diff --git a/Gems/Atom/Tools/AtomToolsFramework/Code/Source/PreviewRenderer/PreviewRenderer.cpp b/Gems/Atom/Tools/AtomToolsFramework/Code/Source/PreviewRenderer/PreviewRenderer.cpp
index 3e4fde4e08..2a6991dc46 100644
--- a/Gems/Atom/Tools/AtomToolsFramework/Code/Source/PreviewRenderer/PreviewRenderer.cpp
+++ b/Gems/Atom/Tools/AtomToolsFramework/Code/Source/PreviewRenderer/PreviewRenderer.cpp
@@ -96,6 +96,7 @@ namespace AtomToolsFramework
         AZ::RPI::RPISystemInterface::Get()->UnregisterScene(m_scene);
         m_frameworkScene->UnsetSubsystem(m_scene);
         m_frameworkScene->UnsetSubsystem(m_entityContext.get());
+        m_entityContext->DestroyContext();
     }
 
     void PreviewRenderer::AddCaptureRequest(const CaptureRequest& captureRequest)
diff --git a/Gems/AtomLyIntegration/CommonFeatures/Code/Source/SharedPreview/SharedPreviewContent.cpp b/Gems/AtomLyIntegration/CommonFeatures/Code/Source/SharedPreview/SharedPreviewContent.cpp
index 21020f64b1..91b6d2b02a 100644
--- a/Gems/AtomLyIntegration/CommonFeatures/Code/Source/SharedPreview/SharedPreviewContent.cpp
+++ b/Gems/AtomLyIntegration/CommonFeatures/Code/Source/SharedPreview/SharedPreviewContent.cpp
@@ -44,7 +44,7 @@ namespace AZ
         {
             // Create preview model
             AzFramework::EntityContextRequestBus::EventResult(
-                m_modelEntity, m_entityContextId, &AzFramework::EntityContextRequestBus::Events::CreateEntity, "ThumbnailPreviewModel");
+                m_modelEntity, m_entityContextId, &AzFramework::EntityContextRequestBus::Events::CreateEntity, "SharedPreviewContentModel");
             m_modelEntity->CreateComponent(Render::MeshComponentTypeId);
             m_modelEntity->CreateComponent(Render::MaterialComponentTypeId);
             m_modelEntity->CreateComponent(azrtti_typeid<AzFramework::TransformComponent>());
@@ -60,6 +60,7 @@ namespace AZ
         {
             if (m_modelEntity)
             {
+                m_modelEntity->Deactivate();
                 AzFramework::EntityContextRequestBus::Event(
                     m_entityContextId, &AzFramework::EntityContextRequestBus::Events::DestroyEntity, m_modelEntity);
                 m_modelEntity = nullptr;