Leveraging: meaning, definitions and examples

This word is often used in business and finance to describe the act of using something to its maximum advantage, especially resources or strategic partnerships.

• The company is leveraging its strong brand to enter new markets.
• We are leveraging technology to improve our productivity.

This word is often used negatively to indicate taking unfair or unethical advantage of a situation or people, though it can also mean making full use of resources.

• The company has been criticized for exploiting its workers.
• They are exploiting every opportunity to gain market share.

This word is a more formal or technical term for using something effectively. Often used in a wide range of contexts including scientific, technical, and everyday situations.

• The new software is utilized to track inventory levels.
• We are utilizing all available data to make informed decisions.

This phrase emphasizes taking advantage of an opportunity in order to gain benefit, often used in a business or competitive context.

• The firm is capitalizing on the rising trend of sustainable products.
• He capitalized on his opponent's mistake to win the match.

Typically used in a business or financial context to refer to the practice of using borrowed capital or various financial instruments to increase the potential return of an investment.

• The company is leveraging its assets to expand operations.
• By leveraging their investments, they managed to increase their profits significantly.

Commonly used in everyday language as well as in financial contexts to refer to the act of receiving something, usually money, with the promise to repay it in the future.

• She is borrowing $500 from her friend to pay her rent.
• The business is borrowing funds from the bank to upgrade its equipment.

Used in a financial or business setting to describe the method of raising capital by selling bonds, bills, or notes to investors. A negative connotation may occur if the debt level becomes unsustainable.

• Startups often rely on debt financing when venture capital is not an option.
• The company used debt financing to launch its new product line, hoping to repay the debts with future revenues.

A strategic term used in business and investment to describe the use of borrowed funds to amplify potential returns. It can have a negative connotation if it leads to significant risk.

• Financial leveraging allowed the small business to compete with larger firms.
• Excessive financial leveraging contributed to the company’s financial troubles during the market downturn.