Leverage
There are several meanings of the word leverage:
- Traditionally, a lever was a slim object that, because it pivots about a point, could be used to apply leverage. So, it might entail using a rod or bar to partially raise or shift a heavy object off the ground; or, the use of a knife to prise the lid off a jar or tin. In both cases, leverage is the force that is applied at one end of the implement (lever) to achieve the desired end of moving an object.
- Leverage is also said to exist when an individual, a firm or larger entity is able to steer people, situations and events to its advantage (to exert influence or force). So, for example, a main contractor may have enough leverage over suppliers to ensure they give the best possible prices; perhaps by virtue of the contractor’s size and influence.
- In commercial situations, leverage is said to occur when borrowed capital is used to fund an investment, e.g where debt is incurred to grow a business, such as expanding a firm’s asset base by borrowing. In this case, leveraging is an investment strategy which uses borrowed money to increase the returns on investment. A company is said to be ‘highly leveraged’ if rather than relying on investor (equity) financing, it relies heavily on debt financing (borrowing).
[edit] Related articles on Designing Buildings Wiki
Featured articles and news
We're expanding our collaborative mission by launching DB Intelligence, an exclusive market research advisory panel. Built environment professionals can now get paid to share their expertise on industry trends, products and services.
Panel members receive direct financial incentives for participating in research projects like short surveys, 1-2-1 interviews and focus groups. Register today to shape the future of the construction sector.
Planning condition discharge in England and Wales
A brief exoplanation from a building compliance expert, with further links.
Overheating guidance and tools for building designers
Guidance for dealing with element of building fabric control that have increasing importance.
Shading for housing, a design guide
From the Good Homes Alliance and British Blind and Shutter Association.
UK Standard Skills Classification (SSC)
A shared framework for describing skills needs.
Social media ban consultation comes to close
CIOB urges UK Government to consider social media’s role in careers guidance in ban debate.
The latest of eight Skills England apprenticeship units
The addition of battery manufacturing welcomed by ECA with a warning about the risks of fast-tracked apprenticeship units.
Building Control Independent Panel final report
A precis of a key report led by Dame Hackitt with full recommendations and link to the government response.
Building Safety recap April, 2026
A short and longer run-through of the month, with links to further information and sources.
CIAT May 2026 briefing.
From medieval scribes to modern word art.
ECA welcomes crackdown on late payment and push for clean energy, whilst CIOB seek fixed cladding removal timeframes.
Cyber Security in the Built Environment
Protecting projects, data, and digital assets: A CIOB Academy TIS.
Managing competence in the built environment
ITFG publishes new industry guide on how to meet the ICC principles.
The UK's campaign to reduce noise pollution: Mythbusting, articles and topic guides.