Fun Factory was a German Eurodance group. The group was founded in 1993 with four members: Balja, Steve, Rod D., and Smooth T. They released their first CD, NonStop! The Album in 1994. Their second CD Close To You was released in 1995. Before its release, lead singer Balja was replaced with Marie-Anett Mey. Balja can still be seen in the video to Groove Me, and her vocals are heard on the entire album. This album includes most of the songs from their first release, including several hits such as "Close To You", "Take Your Chance", "I Wanna B With U", and "Pain".

In 1996, Fun Factory released their second album, Fun-Tastic, which contained several hits such as "Celebration", "Do Wah Diddy", "I Love You", and a rap remake of "I Wanna B With U" from their first and second albums. By this time they began to become more popular throughout Europe, and even saw some of their songs chart in the USA and Canada. In 1997 they released a greatest hits album. Soon after the release Smooth T and Rod D left and the original group was disbanded.

The two remaining members started a follow-up project Fun Affairs with the singer Ray Horton but the success of the new band was comparatively modest.

In 1998, a new Fun Factory formed with an all-new lineup. Their first release, Next Generation, came out in 1999 and sold over 100,000 copies. The music on this new release differed from the style of the first Fun Factory, and were mostly rap, reggae, or pop. Singles from this album include "Sha-la-la-la-la", "Party With Fun Factory", and "Fun Factory's Millennium Theme". Al Walser from Liechtenstein came in as the new driving force for the band with whom the act became hugely successful in the Asian market. In 2002 the ABC of Music the second and last album of the new lineup came up with the moderate success and the group was soon dissolved.

Their second and final album, ABC of Music was released in 2002 with moderate success. The second Fun Factory disbanded in 2005.

In 2007 a comeback was announced and new Fun Factory website was launched. In summer the group has started again with four new members. They are the rapper Douglas, the singer Jasmine, the singer Joel and the dancer Lea. In was announced on the website that a new single (Fiesta De Samba) wiil be released in July following a new album (Storm In My Brain) in August.