Google Docs allows you to store unlimited documents as long as they do not exceed the limit of 10GB. Dealing with so many documents can be troublesome and you will require time to find the right document. For this reason, there is an option of creating folders and labeling the documents accordingly. This feature allows you to organize your documents and categorize them for future reference.
Follow this step by step Google Docs tutorial to learn how to get organized with folders and labels in Google docs.