leverage
🇬🇧 /ˈlɛvərɪdʒ/
🇺🇸 /ˈlɛvɜrɪdʒ/
📖 Definitions
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noun
The mechanical advantage or power gained by using a lever; the action or advantage of a lever.; The power or ability to influence people, events, or outcomes; strategic advantage.; The use of borrowed funds or financial instruments to increase the potential return of an investment; the ratio of debt to equity in a company or investment.; The degree to which a company or investment is financed by debt rather than equity.
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verb
To use something to maximum advantage; to exploit a resource or situation for a desired outcome.; To use borrowed capital or debt to finance an investment or business operation, thereby increasing potential returns.; To apply physical force using a lever or lever-like mechanism to move or lift something.
🔗 Details
Word forms
uncountable
3rd sing.: leverages
Past: leveraged
Past part.: leveraged
Pres part.: leveraging
Collocations
financial leverageleverage ratiouse leveragegain leverageleverage one's positionoperating leverage
Derivatives
leverleveraged
Synonyms
influenceadvantagecloutpowerweightpull
Antonyms
disadvantageweakness
Commonly confused
lever
EN: 'Lever' is the physical tool (a rigid bar); 'leverage' is the mechanical advantage or influence gained from using it.
leverage
EN: As a verb, 'leverage' is common in business jargon meaning 'to use to maximum advantage'; some style guides prefer simpler alternatives like 'use' or 'exploit.'
Spelling tips
EN: Remember the 'a' in the second syllable: 'lever-age,' not 'leverge.' Also note it is pronounced /ˈlɛvərɪdʒ/ or /ˈliːvərɪdʒ/.
💬 Examples
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The crowbar gave him enough leverage to pry the lid off the crate.
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Her position as the sole supplier gave her tremendous leverage in the negotiations.
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The firm used high leverage to amplify its returns, but this also increased its risk of insolvency.
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The company's leverage ratio was considered dangerously high by credit rating agencies.
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The startup leveraged its early user base to attract venture capital funding.
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The investor leveraged his portfolio by borrowing against his existing holdings to purchase additional assets.
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They leveraged the heavy stone into position using a long iron bar.