I keep a paper notebook too. I use it to capture all of the random thoughts spinning in my head when I wake up every morning.
Later, I’ll flip through it to see if anything seems worthy of turning into a story or applying to my business. I think I need to start the index card step though. I read about that in one of Ryan’s stories here, but never got around to doing it.
I do actually use Evernote as well. I’m not as good about always carrying my paper notebook with me. But I always have my phone. So it’s pretty easy to capture quick notes throughout the day.