Business inventory is a term used to describe the amount of merchandise or goods that are held by a business for sale. It represents the raw materials, supplies, and finished products a company has in stock. Keeping track of business inventory is essential for any successful business as it helps ensure that profits remain high, customers are satisfied, and items are available when needed. Additionally, having an accurate record of inventory levels also allows businesses to better manage cash flow and be aware of any potential shortages. In essence, business inventory is what keeps a company running smoothly.