A folding storage bin is positionable between an open position and a closed position via a drawstring. A plurality of side members are attached to an exterior side of a liner, and a drawstring is threaded through the side members and the liner. In the open position, pulling the drawstring brings the side members into a facing relationship disposed substantially end-to-end. In a preferred arrangement, the liner is sized and shaped such that in the closed position, a flexible pocket is formed between adjacent ends of the side members. The pockets prevent small parts from falling out of the corners of the bin and help to prevent smaller items from getting caught in the bin corners, which would prevent the bin from closing properly.