Factoring Payment

Hi, I added a client to our factoring company. The client agreed and the factoring account was up and running. I sent two invoices to be factored. The factoring company transferred a percentage to my checking account. I entered the loan from the factoring company into QBs as I usually do.

1. I enter the funds into a liability account called factoring loan, then it is deposited into our checking account. 

2. Then I receive payment and it is deposited into an undeposited funds account.

3. Then I transfer to a holding account. 

4. Then enter a factoring fee

After I received the funding, the client decided not to factor and wanted to pay us directly. I had to transfer the funds back to the factoring company as required by our contract. What is the best way or steps to a factored invoice to deposit client's payment?