My fat quarters are in drawers, and smaller pieces of fabric are in plastic boxes. But what about yardage? I've never been happy with having it folded and stacked. It stayed messy and it was hard for me to glace at the piles and know what I had. Then I discovered a rectangular vinyl made for story fabrics put out by Polar Notions. Now my yardage is upright on bookshelves and they are grouped. At a glance I can choose yardage without having to pick through piles of fabric. It's also very easy to unroll and cut.
Finally, a solution I am happy with!