A properly folded towel has a neat, fluffy appearance and hidden edges.
1. Fold towel in thirds lengthwise. (If towel will be hung, transfer to rod; the monogram, if any, will be centered and visible.)
2. Fold towel into a rectangle. Keep sets of guest towels together, bound with twill tape or ribbon. When visitors arrive, just transfer a stack from linen closet to guest bedroom.