WordGarden.ioleverage
C1Pronunciation
UK
- /lˈiːvərɪdʒ/
US
- /ˈlɛvərɪdʒ/
Meanings
Noun
power or advantage that helps someone influence a situation
the use of borrowed money to increase investment exposure or returns
the mechanical force or advantage gained by using a lever
Verb
to use something to maximum advantage
Beyond the definition
Imagine trying to lift a heavy rock. It's much easier with a lever, right? That's the idea behind "leverage." It means using something you have, like knowledge, money, tools, or a good relationship, to gain an advantage and do more than you could on your own.
In business, leverage can mean using borrowed money to invest in something that may bring a bigger return. In negotiations, it means having something the other person wants, which gives you more influence. And sometimes, simply knowing the right person can give you an edge. Think of it as getting extra force from what you already have.
Leverage is not just about physical tools; it is a useful idea that applies to many parts of life. At its core, it means using something you already have, such as a resource, an asset, influence, or even borrowed money, to increase your ability to reach a goal.
Think of a seesaw: a small amount of weight on one side can lift a much heavier weight on the other because of the fulcrum, or pivot point. That is leverage in action. In finance, it often refers to using borrowed money to increase the possible return on an investment, though this also increases risk. A company might leverage its brand reputation to launch new products successfully.
But leverage is not limited to money or business. You can leverage your network by asking for introductions, or leverage a skill you have to solve a problem for someone else. In social situations, having information the other person needs can give you leverage in a negotiation. A skilled politician might leverage public opinion to push through legislation.
The key is that leverage is not about brute force. It is about using what you have in a smart way to increase your impact and gain an advantage. It is about working smarter, not harder. So the next time you need a boost, think about how you can leverage your resources. You might be surprised by the results.
Examples
- 1
Physical force
A longer wrench gives you more leverage when you loosen a tight bolt.
- 2
Investor talks
Their early sales numbers gave them leverage in talks with investors.
- 3
Labor negotiations
The union has real leverage over the company because a strike would stop production.
- Patternleverage over + person/group
power to influence them
- 4
Contacts
She leveraged her contacts to find a new supplier quickly.
- Patternleverage + advantage/resource + to do something
use it to achieve a goal
More examplesFewer examples
- 5
Product improvement
The team wants to leverage customer feedback to improve the app.
- 6
Settlement talks
The emails became useful leverage during the settlement talks.
- Phraseuseful leverage
something that helps you get a better result
- 7
Finance
The company grew fast, but it was carrying too much leverage.
- Domain
in finance, leverage often means using borrowed money
- 8
Debt level
Banks are more cautious with highly leveraged businesses.
- Phrasehighly leveraged
having a lot of debt
See also
Similar
Shades of meaning
- bargaining power
- pull
- strategic advantage
Contrast
Used with (collocations)
- gain leverage
- use leverage
- negotiating leverage
- give someone leverage
Word family
Explore
- negotiation
- power dynamics
Forms and spellings
4 forms open this card.
Main spelling
- leveragenounverb
Forms
- leveragedpast tenseverbnoun
- leveraging-ing formverbnoun
- leveragesverbnoun