The Krusty Factory was a factory located near the Krusty Krab. It appears in the episode "Goodbye, Krabby Patty?" and the book Factory Fresh!
It is a large factory with many exhaust pipes made of typical metal sheets bolted together randomly. The Krusty Krab lies in front of the factory, with a big Krusty Krab clam sign that reads "The Krusty Factory" next to the original one. Inside the factory, there are many assembly lines. First, there is one with a giant cauldron releasing patty dough onto the assembly line. It runs into a metal box with another patty dough filled cauldron connected to it by a big pipe. Another, the blue metal box is connected on the other side, which releases smaller splashes of the dough onto a second assembly line. These get pressed into patty form by giant cauldrons, stamping down the dough from the top. The freshly formed patties run into a fire powered oven and get frozen directly after in a freezing chamber. Additionally, another assembly line can be seen, transporting sand from yet another cauldron reading "FILLER."
Role in episode
After the release of the Frozen Krabby Patties, a factory is built behind the Krusty Krab, where the frozen patties are produced.
It then becomes defunct towards the end of the episode when Frozen Krabby Patties are revealed to be made of sand.