How do small businesses keep track of inventory?

I’m curious how other small business owners are managing inventory as their product range grows. Do you still use spreadsheets, or have you moved to dedicated inventory software? One thing I’ve noticed is that keeping track of stock levels manually can become difficult when there are frequent sales, returns, and new purchases. Having better visibility into available stock seems like it could save quite a bit of time. For anyone currently researching Best Inventory Management Software, what features would you consider essential? Would be interested to hear what has worked for others.