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The remaining members went on to enjoy huge success with Factory as New Order. The label was at the center of a music scene of their own making - the so called "Madchester" scene - named, of course, for Manchester, Factory Record's base.And at the center of that scene was a Factory Records run club, the famous (or infamous) Hacienda.

After Factory's demise, many of the acts moved to London records, often taking their back catalogue with them.Financial trouble eventually brought Factory to a close.The Hacienda was swallowing money, the label was financing the recording of a Happy Mondays album in Barbados, New Order's second album costs were spiralling out of control, and the label faced bankruptcy.His designs were a big part of Factory's image, and his aesthetic fitted with Wilson Situationist leanings.