Any inventory you have is considered an asset and counts towards whatever figure your state has in place (I believe the federal number is $400). So, all the raw materials, partially completed products and completed products you have are considered assets. It's almost impossible to stay under. You'll probably need to register.
Also, if you haven't already, stuffed animals are toys and will need to be tested by a CPSC accredited lab, regardless of whether they are made of exempt/complaint materials or not. The Handmade Toy Alliance would be of most help there: www.handmadetoyalliance.org.