Asset Increase Debit is a business term used to describe when a company records an increase in its tangible and intangible assets on its balance sheet. This type of transaction causes the total asset amount to increase, which results in a debit entry in the books. In other words, this is a situation where a company records an influx of assets that is greater than what it spends or loses – essentially, a net gain. It’s a positive sign for a company’s overall financial health, as it indicates an increase in either physical property (such as machines, equipment and office space) or non-physical concepts such as intellectual property, copyrights, patents, and goodwill.