Raylo, a startup in the mobile sector, has launched with the aim of changing the way UK customers get the latest iPhone.
The startup has a five minute sign up process, and customers can access the latest technology with monthly payments of up to £803 cheaper over 24 months versus the big four mobile networks.
Customers return the phone after 24 months when they are ready for for a change, and Raylo’s subscription includes full insurance so customers are protected against loss, theft and accidental damage.
The startup is running a waiting list for the launch of the next iPhone in September.
Karl Gilbert, CEO and Co-Founder at Raylo, said: “The mobile networks have not evolved and customers continue to face an outdated product offering, poor experience and endless high-street stores.
“We believe that mobile can be better in every single way and we’re starting by solving the most important part – a smarter new way to get the best iPhones, at a low monthly price, SIM-free and fully insured.
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“The networks should be treated like utilities and we believe that everyone should be SIM-only – it’s cheaper and more flexible.”
The company will find new homes for all of the devices returned by its customers when they upgrade to a new phone, diminishing the levels of wastage caused by people discarding old devices.
Richard Fulton, Co-Founder and Chief Strategy Officer at Raylo, added: “Every year millions of phones end up in drawers or even landfill – it’s bad for the environment and a waste of money.
“Sustainability is very important to Raylo, we have the benefit of starting from scratch and believe we have a responsibility to do things better than the incumbent networks – for the planet, and our customers’ pockets.
“Our packaging is fully recyclable, and our phone cases are made from plants not plastic through our partnership with Pela, the leading compostable phone case producer.”
Raylo has raised £1.6m in pre-seed funding and is backed by Techstart Ventures and a select group of angel investors including Samir Desai and James Meekings, the co-founders of Funding Circle.