This research is necessitated by the fact that inventory forms a large portion of current assets of cosmetics businesses and any inaccuracies in its management might results in a range of problems. Therefore, it is this most essential aspect of organizational life that cosmetics enterprises in Douala might be neglecting and has ignited the need for such an investigation. This study is aimed at assessing the challenges of inventory management practices and its influence on the cost of small scale Cosmetics enterprises in Douala. The hypothesis of this study investigated the relationship between inventory management practices and cost incurred by small scale cosmetics enterprises in Douala. The research design adopted for this study was Ex-post facto research design. A Sample of 30 small scale cosmetic enterprises were drawn using the stratified random Sampling. The instrument used for this study was a well validated structured questionnaire. The alpha Cronbach reliability method was used to test he reliability of the instrument. Ordinary Least Multiple regression statistical technique was used to test the hypothesis of the study. The findings revealed that; there exist a significant and inverse relationship between collaboration with partners and cost of small scale cosmetic enterprises in Douala, a significant and inverse relationship exist between lead time management and cost incurred by small scale cosmetics in Douala. The findings also revealed that there exist a significant relationship between stock control and classification and the cost of small scale cosmetics enterprises in Douala and there exist a significant relationship between stock level management and cost of small scale cosmetics in Douala.Thus the study had made some recommendations to the businesses concerned, to the government through the local councils and the ministry of small and medium size enterprises to close the gap by organizing seminars and training on inventory management amongst others