Definition(s):
In the financial domain, leverage is a term used to designate, for instance, strategies, methods, or techniques aiming to invest in actions that will result in some positive effect. For example, a common way to attain leverage is borrowing money. However, it creates a debt. In the TD context, the debts deliberately incurred can be considered as a way to leverage aiming to meet demands and business opportunities. Thus, as defined by Ampatzoglou et al., financial leverage refers to “the ability of software companies to produce by-products, decrease time to market, etc. by accumulating technical debt.”