the site i got it from is http://www.absolutepitchpower.com/index.html as i say tho i havnt got it completely yet but i can see it is starting to work as i am picking out notes just by hearing them. neway have a look and c wot u think.
as for actually writing the songs, for me, i find that by listening to a wide variety of musical genres and then picking out certain songs and sort of analysing them can be quite good. write down any similarities between the songs you and ur mates like such as is the intro guitar duz it have bits of just guitar bits with just drums etc. write down each instrument and then wot each instrument duz at wot time. this way ull c wot works well and wot duznt obviously this duznt always work but by taking ideas (song order, how the guitar and bass works 2getha etc.) from different songs can work quite well.
as for you not being able to read music its not the end of the world. its a very useful tool 2 have especially if auditioning for new band members or trying to get in another band if your jammin with ur mates tho u can probably get away with just knowing the note names and remembering the riffs u cum up with. a useful tool for learning to read and write music is http://www.powertabs.net/ download the powertab editor and u can learn songs from it and write your own down. because it has a playback function u can write your own stuff using tablature and listen to it to make sure its right. this can also be good writing new songs as you can here wot u have written b4 actually playing it on the guitar then learn it later. also u have to change note values etc. just do this by experimenting and ull find ull pick it up quickly.
neway iv spoke 4 way 2 long now i hope iv bin of sum use 2 u
dave