Bob Dylan was a visitor to Warhol's factory - and quick to spot Edie's talents he soon became very interested in her. Two of his songs have been rumored to be written about Edie. Both songs are included on his 'Blonde on Blonde' LP which has continued to sell to this date.
When Bob Dylan's interest in Edie started to grow, his friends and his manager often asked Edie how much money she was earning. Edie started to talk to factory friends and to think about her future acting potential - at one point this was raised with Warhol. Edie began to argue with Warhol about the money that she was paid to star in his films. Edie had been convinced, by Dylan's friends, that Warhol was making a substantial amount of money from his films and could afford to increase her payments. Warhol explained to her that he was not making money from the films but it did not matter, Edie had already decided that she was being undervalued and decided to leave the factory for good, telling friends that she had signed a contract with Albert Grossman, Dylan's manager.

It has been documented that many of Warhol's low budget films received significant critical acclaim at that point in time but, allegedly, they did not make Warhol much money. Warhol, was undoubtedly left reeling when she left his domain. In public, he did not mention her and when he was asked specific questions he denied any feelings for her. This behaviour was to continue for some time. In private, Warhol may well have had good reason to feel betrayed by Dylan and Dylan's friends, who he had welcomed into his factory. After leaving the factory, it has been documented that Edie fell in love with Bob Dylan only to find out one day from his friends that he had gone out and got married to someone without mentioning it. Perhaps Edie was also to feel that she had been mislead and ill advised by Dylan's friends, but she did not return to the factory and it is unlikely that she met Warhol again.
Sadly, after leaving the factory, and despite her striking presence on the silver screen, Edie Sedgwick never became the movie star that she had dreamed or talked about. Some of her friends who arrived in New York with Edie also seem to have disappeared - there current whereabouts have never been documented.
Amazingly, Edie went on to become a major celebrity at the Chelsea Hotel in New York. The Chelsea received numerous visits from a number of celebrity musicians and artists but it had also got a reputation in New York for being very cheap in those days. Edie was often causing a scene there - at one point she achieved notoriety with the management of the Hotel, by setting her room on fire!!
There was some talk of Edie featuring as a model in some of the leading fashion magazines. Her biography includes details of how Vogue were keen to use her as a model, and, after arranging photo tests were very pleased with the results. However, just as her modelling career was about to take off, and without any specific reason, Vogue decided to drop her. From the comments made in Edie's biography, it appears that her previous connection to drug dealer friends was the reason for this decision.
After leaving the factory, Edie's life was not documented in the media, save for a lone article, from an interested reporter, asking the Factory crowd what had happened to Edie. Edie's biography continues her story into the late sixties and early seventies.
Edie became involved with a group of film makers who had convinced her that she should make a movie depicting the story of her life. It is unclear exactly when filming started - but it seems that filming started during 1968 and ended sometime during 1970, when attempts were made by the directors to finish it. The film that was to be released as a result of this venture, Ciao ! Manhattan ultimately became a film that did little to enhance Edie's reputation. Fans of Edie's early factory films would have been shocked to see her appearance and state of mind during the making of Ciao ! Manhattan. However, despite this the film has developed a cult following.
Back in New York, it is unclear what happened over at the Factory. Warhol - or one of his entourage - decided that the Superstar idea should continue. As soon as Edie had left the factory, they immediately appointed another and the idea would continue into the mid seventies.

The production of film making stepped up a gear and then moved into overdrive with the arrival of Paul Morrissey who had a special knack of causing arguments. Without wanting to question any of the characteristics of the people involved, this change to the method of film production and general work around the factory was just too much for some factory people to take - and people started to leave.
Warhol's involvement at the Factory, and his own lifestyle, was to change dramatically after the shooting attempt on his life.