It may seem like a small detail, but the way you display your towels can have a significant impact on the appearance of a bathroom or linen closet. To store your towels so that they're accessible, tidy, and aesthetically pleasing, fold each into thirds lengthwise, flattening the folds with your hands. Fold each towel in half, then in half again; repeat this step for hand towels. Once they're folded, simply stack them in neat piles placed on a countertop or stored away in a linen closet.
Folding a Towel
Martha Stewart Living Television