Place your button outside popup div, give a unique ID to popup div and a class to your button and setup your fancybox code accordingly.
HTML
<div id="popupID" class="popup bg-white"><!--pop up box begins-->
<!-- rest of the html -->
</div><!--pop up box ends-->
<button class="fancybox btn btn-common fr btn-big auto_width" value="submit" type="submit" name="submit">EDIT</button>
jQuery
$(".fancybox").fancybox({
'href' : '#popupID'
});