An inverter, in the context of renewable energy, is a device that will convert your DC battery voltage into mains type AC power.
Most medium to large scale solar design is to power everything from mains type AC voltages "inverted" from the DC battery bank. The advantage this gives us is that we can purchase conventional appliances from the local electrical store. For example a simple light globe that gives good light output that is energy efficient quite hard to find and somewhat expensive in a 12 Volt DC version. Having a 24 or 48 volt lighting system makes finding a suitable light bulb even more difficult. If you get all your power from an inverter you can go off to the local supermarket and choose from a great selection of super efficient low power consumption light globes that will cost a fraction the price of anything that is only DC rated.
Inverter ratings
The three ratings that you should look at when buying an inverter are:
Continuous Rating: This is the amount of power you could expect to use continuously without the inverter overheating and shutting down.
Half Hour Rating: This is handy as the continuous rating may be too low to run a high energy consumption power tool or appliance, however if the appliance was only to be used occasionally then the half hour rating may well suffice.
Surge Rating: A high surge is required to start some appliances and once running they may need considerably less power to keep functioning. The inverter must be able to hold its surge rating for at least 5 seconds. TVs and refrigerators are examples of items that require only relatively low power once running, but require a high surge to start.