Glossary
Leverage
Using something you do not own - money, people, code or audience - to multiply your output.
Financial leverage is borrowed money: a 20% deposit lets you control a whole property, so a 5% price rise becomes a 25% return on your cash. It magnifies losses on exactly the same terms.
The more interesting kinds are labour, code and media. Code and content are permissionless leverage - they work while you sleep and cost nothing to copy - which is why so much modern wealth comes from software and audiences rather than from borrowing.
Where this matters
Rental Property
Real Estate
Buy property with borrowed money and let tenants repay the loan
- Capital
- $10k+
- First income
- Months
- Risk
- Ceiling
- Seven figures
Micro-SaaS
Software & Digital
Build small software that solves one problem and charges monthly for it
- Capital
- Under $500
- First income
- Months
- Risk
- Ceiling
- Uncapped