leverage

American  

[lev-er-ij, lee-ver-] / ˈlɛv ər ɪdʒ, ˈli vər- /

noun

1. the action of a lever, a rigid bar that pivots about one point and that is used to move an object at a second point by a force applied at a third.

2. the mechanical advantage or power gained by using a lever.

3. power or ability to act or to influence people, events, decisions, etc.; sway.

   Being the only industry in town gave the company considerable leverage in its union negotiations.

   Synonyms:

   pull, clout, weight, strength, advantage

4. the use of a small initial investment, credit, or borrowed funds to gain a very high return in relation to one's investment, to control a much larger investment, or to reduce one's own liability for any loss.

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verb (used with object)

leveraged, leveraging

1. to use (a quality or advantage) to obtain a desired effect or result.

   She was able to leverage her travel experience and her gift for languages to get a job as a translator.

2. to provide with leverage.

   The board of directors plans to leverage two failing branches of the company with an influx of cash.

3. to invest or arrange (invested funds) using leverage.

4. to exert power or influence on.

   It was Joe who leveraged her to change her habits.

leverage British  

/ ˈlɛv-, -vrɪdʒ, ˈliːvərɪdʒ /

noun

1. the action of a lever

2. the mechanical advantage gained by employing a lever

3. power to accomplish something; strategic advantage

4. the enhanced power available to a large company

   the supermarket chains have greater leverage than single-outlet enterprises

5. US word for gearing

6. the use made by a company of its limited assets to guarantee the substantial loans required to finance its business

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leverage Cultural  

1. The amount in which a purchase is paid for in borrowed money. The greater the leverage, the greater the possible gain or potential loss.

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Other Word Forms

• nonleveraged
  adjective
• unleveraged
  adjective

Etymology

Origin of leverage

First recorded in 1715–25; lever + -age

Explanation

If you have leverage, you hold the advantage in a situation or the stronger position in a contest, physical or otherwise. The lever is a tool for getting more work done with less physical force. With the right leverage, you might be able to lift a heavy box. This refers to non-physical situations too: the power to move or influence others is also leverage. Since your boss has the power to fire you, that's a lot of leverage to get you to do what he wants. If your friend owes you a favor, you have leverage to get a favor of your own.

Example Sentences

See Examples For:

leverage leveraged leveraging

The haste of the transaction would seem to have given the buyers superior leverage, yet Walter negotiated a 25% increase on the $10 billion he spent on the team last October.

From Los Angeles Times ● Aug. 25, 2026

What leverage does Canada, which sells about 70% of its goods to the US, actually have in this spiralling trade dispute with its southern neighbour, who also happens to be the world's largest economy?

From BBC ● Aug. 25, 2026

The newer ETFs, however, were designed to hold shares in just a single company and allowed investors to pile on additional leverage that magnified gains or losses.

From The Wall Street Journal ● Aug. 25, 2026

But longer-term, the heir to the throne has leverage over his brother.

From The Wall Street Journal ● Aug. 24, 2026

Does it give her some kind of leverage?

From "Allegiant" by Veronica Roth

Lee invested all of it into SK Hynix and, later, into single-stock leveraged ETFs.

From The Wall Street Journal ● Aug. 25, 2026

Heyward leveraged that platform season in St. Louis into an eight-year free agent contract with the Cubs worth $184 million, setting a franchise record.

From Los Angeles Times ● Aug. 25, 2026

Ellison’s proposed Warner Bros. takeover also will be heavily leveraged with nearly twice the debt that resulted from Zaslav’s previous deal.

From Los Angeles Times ● Aug. 24, 2026

Both companies also have become less leveraged, shedding assets and not owning as much land as they had in the past.

From MarketWatch ● Aug. 19, 2026

On education, Barack and I had leveraged billions of dollars to help girls around the world get the schooling they deserve.

From "Becoming" by Michelle Obama

"But now, along with more spending power, there is improved access, distribution and product education. The internet broke these barriers, with brands leveraging the power of social media platforms and influencers to reach consumers directly."

From BBC ● Aug. 19, 2026

But Ellison isn’t saving the entertainment industry, he’s leveraging it.

From Los Angeles Times ● Aug. 13, 2026

He said GenAI workflows have now been used on roughly 300 Netflix titles, mostly in post-production, adding: "We're leveraging GenAI for really complicated shots and sequences."

From Barron's ● Jul. 22, 2026

Tolo and Johnson are skilled at capturing the public’s attention and leveraging it for business opportunities.

From The Wall Street Journal ● Jul. 13, 2026

It made sense, Gus leveraging his terminality to make my dream come true: The sequel was a tiny thing to die for, but it was the biggest thing left at his disposal.

From "The Fault in Our Stars" by John Green

Related Words

• advantage
• bargaining chip
• clout
• weight