Leverage

/ˈlɛvərɪdʒ/

Meaning & Definition

noun

The exertion of force by means of a lever or an object used in the manner of a lever.

The engineer designed the bridge to utilize leverage effectively in distributing weight.

The advantage or power gained from a situation or resource.

The company used its financial leverage to acquire a smaller competitor.

The ability to influence a situation or an outcome.

The negotiators had leverage in the talks because of their financial backing.

verb

To use something to maximum advantage.

We can leverage our network to gain new clients.

To increase the influence or effect of something.

The team needs to leverage their unique skills to enhance project outcomes.

From French 'levier', meaning 'to raise, to lift'.

leverage buyout

A strategy in which a company is purchased with a combination of equity and debt.

leverage point

A point at which a small change can lead to significant results.

financial leverage

The use of debt to acquire additional assets.

lever

A simple machine that amplifies an input force to provide a greater output force.

leverage ratio

A financial ratio that measures the extent of a company's use of debt financing.

To use resources to gain an advantage.

We need to leverage our network to get that deal.

To manipulate a situation to one's benefit.

She managed to leverage her connections to land that job.