UrbanStems
Washington, US · Founded 2013 · Delaware corporation · 10 known investors
UrbanStems is an online flower and gift delivery company offering same-day delivery in eight U.S. cities and next-day nationwide.
Also known as UrbanStems
Founders & leadership
UrbanStems was founded in 2013 by Ajay Kori and Jeff Sheely.
Board
Investors · 10
Also in the syndicate · 3
Reported raises · per SEC filings
Form D private placements$35.3M disclosed across 5 of 6 rounds · 2015–2024
▶$19.5MraisedJul 2021 · 23 investors · OtherRule 506(b)
- Daniella YacobovskyDirector
- Ajay KoriDirector
- Alexander PessalaDirector
- David StrasserDirector
- Goldman SethExecutive Officer, Director
- Offering amount
- $20.1M
- Amount sold
- $19.5M
- Minimum investment
- $1
- First sale
- Apr 2021
- Incorporated
- Corporation, Delaware
- Federal exemptions
- 06b
▶$6.6MraisedDec 2017 · 24 investors · OtherRule 506(b)
- Jeff SheelyExecutive Officer, Director
- Ajay KoriExecutive Officer, Director
- Seth GoldmanExecutive Officer
- David StrasserDirector
- Robert LatchfordExecutive Officer
- Elizabeth CutlerDirector
- Jereme HolimanExecutive Officer
- Alexander PessalaDirector
- Offering amount
- $6.8M
- Amount sold
- $6.6M
- Minimum investment
- $1
- First sale
- Apr 2017
- Incorporated
- Corporation, Delaware, 2013
- Federal exemptions
- 06b
▶$6.8MraisedApr 2016 · 16 investors · OtherRule 506(b)
- Ajay KoriExecutive Officer, Director
- Alexander PessalaDirector
- Jeff SheelyExecutive Officer, Director
- Offering amount
- $6.8M
- Amount sold
- $6.8M
- Minimum investment
- $1
- First sale
- Apr 2016
- Incorporated
- Corporation, Delaware, 2013
- Federal exemptions
- 06b
▶$900KraisedApr 2016 · 11 investors · OtherRule 506(b)
- Jeff SheelyExecutive Officer, Director
- Ajay KoriExecutive Officer, Director
- Alexander PessalaDirector
- Offering amount
- $900K
- Amount sold
- $900K
- Minimum investment
- $1
- First sale
- Nov 2015
- Incorporated
- Corporation, Delaware, 2013
- Federal exemptions
- 06b
▶$1.5MraisedFeb 2015 · 9 investors · Other TechnologyRule 506(b)
- Alexander PessalaDirector
- Ajay KoriExecutive Officer, Director, Promoter
- Jeff SheelyExecutive Officer, Director, Promoter
- Offering amount
- $1.8M
- Amount sold
- $1.5M
- Minimum investment
- $15K
- First sale
- Jan 2015
- Incorporated
- Corporation, Delaware, 2013
- Federal exemptions
- 06b
Source: SEC EDGAR Form D. Amounts as filed; amended filings shown once at their latest values.
Company profile
researched Aug 2026UrbanStems is a direct-to-consumer floral gifting company that sells bouquets, plants, and gift bundles online for delivery to recipients across the United States. The company designs arrangements in-house and sources stems directly from Rainforest Alliance Certified farms, positioning itself as a vertically integrated alternative to the traditional "flower wire" model in which national brands pass orders to local florists who reinterpret an arrangement from a description. Products are sold as one-time gifts or as recurring flower subscriptions, and the catalog is organized by occasion (birthday, sympathy, new baby, congratulations, housewarming and similar) and by collection (Flowers, Plants, Gifts, Classics and Vogue), with individual bouquets listed at roughly $55 to $239 and subscriptions starting at $60 with free shipping.
Fulfillment combines same-day delivery in New York City, Washington, D.C., Los Angeles, Chicago, Atlanta, Miami, Dallas and Boston with coast-to-coast next-day delivery by courier or truck. Alongside flowers, the company merchandises partner and add-on products including wine-and-bouquet pairings, Levain cookies and a co-marketed bundle with baby-essentials brand Coterie. Customer retention programs include a points-based rewards scheme, a subscribe-and-save discount of up to 30%, and a referral credit offer.
Founding story
Co-founder Ajay Kori conceived the business in 2013 while living in Washington, D.C. and trying to send flowers to someone in Philadelphia, finding the process marked by clunky websites, unpredictable delivery windows, inconsistent quality and opaque pricing. He recruited Duke University friend Jeff Sheely, having previously worked at Quidsi, the parent of Diapers.com. The pair tested demand by buying flowers at Costco, assembling simple bouquets and delivering them by bicycle to friends and acquaintances for $15-20, taking orders through a basic Squarespace site before building out infrastructure.
Business model
UrbanStems sells florals and gifts directly to consumers through its own e-commerce site rather than routing orders to third-party florists, controlling design, sourcing and delivery in-house. It works directly with its farms, employs its own designers and, in its earlier bicycle-courier operation, used W-2 employees rather than independent contractors. Revenue comes from one-off gift purchases, a subscription plan, and attached gift items such as vases, wine and cookies, supported by loyalty points and referral credits to drive repeat orders.
Transactional online sales of bouquets, plants and gift bundles (roughly $55-$239 per item) plus recurring flower subscriptions starting at $60 per delivery with free shipping and discounts of up to 30% for subscribers.
Traction
More than 10 million customers served as of January 2024 according to a company board member; more than 20,000 five-star reviews displayed on the site; same-day service expanded to four new markets in the six months before January 2024, reaching seven metros then and eight as listed on the current site. Under co-founder Ajay Kori the business grew from nothing to more than 100 employees and millions of dollars in annual revenue by 2019, and appeared on Inc.'s fastest-growing companies list for 2015-2019. Secondary coverage describes the company as valued at over $100 million.
Latest developments
In January 2024 UrbanStems announced $5 million in Series C extension funding from existing investors, led by SWaN & Legend and DF Enterprises, alongside the launch of same-day delivery in Miami and a limited-edition Flamingo Bouquet available through February 4, 2024. The company's site now lists same-day delivery in eight cities, adding Dallas and Boston, and features gifting collaborations with Coterie, Levain Cookies and curated wine pairings. A site redesign required customers inactive since November 6, 2024 to reactivate their accounts.
▸Full profile — market position, technology, go-to-market, geography, history, risks & controversies
Market position
Positioned as a modern, design-led challenger to legacy national flower-delivery brands that rely on local-florist wire networks. Company communications describe it as a premium/luxury floral gifting brand; a January 2024 board-member statement said the company had sent gifts to more than 10 million customers. Coverage notes it ranked among the fastest-growing U.S. companies on the Inc. list between 2015 and 2019.
A fully integrated supply chain with direct farm sourcing and no wire-service middlemen, in-house floral design intended to produce exclusive looks, transparent flat pricing, guaranteed freshness with remediation by a care team, and same-day delivery in eight major metros as a stated key differentiator in the luxury floral segment.
Technology
Consumer-facing e-commerce platform with occasion and collection browsing, filtering by category, price, color, stem type and vase pairing, delivery-date selection at the product level, accounts and subscription management, live chat support, and a rewards/referral system. The site was redesigned and relaunched, requiring customers who had not logged in since November 6, 2024 to reactivate their accounts.
Go-to-market
Direct-to-consumer e-commerce with occasion-based merchandising, same-day delivery in flagship metros as a differentiator, brand collaborations (Coterie, Levain Cookies, wine pairings), customer reviews on-site (more than 20,000 five-star reviews cited), Instagram social presence, a referral program and a points-based rewards program. City launches are supported by publicity, such as a limited-edition "Flamingo Bouquet" tied to the Miami same-day launch.
Consumers sending flowers and gifts as gifts or to themselves, concentrated in major U.S. metropolitan areas served by same-day delivery, with nationwide next-day coverage for remote gifting occasions such as birthdays, sympathy, new babies and thank-yous.
Geography
Headquartered in Washington, D.C., where the company launched, with New York-based design talent referenced in company communications. Same-day delivery covers NYC, Washington, D.C., Los Angeles, Chicago, Atlanta, Miami, Dallas and Boston; Jersey City was also cited as a same-day market in early 2024. Next-day delivery is available coast to coast across the U.S.
History
UrbanStems launched during Valentine's Day week 2014 in Washington, D.C., offering bouquets from $35 with free delivery within an hour via an in-house fleet of bicycle couriers staffed by W-2 employees. It expanded to New York City and by 2017 was growing quickly; on Valentine's Day 2017 the company suffered a fulfillment breakdown in which orders outpaced capacity, delivery windows were missed and new orders were suspended until the backlog cleared, after which Kori emailed affected customers with his personal phone number and took more than 300 calls. Recognizing a need for operational leadership, the founders recruited Seth Goldman, former U.S. CEO of HelloFresh, initially as Chief Operating Officer and then offered him the CEO role, with Kori moving to chairman; Kori served as CEO until 2019. By January 2024 Meenakshi Lala was Chief Executive Officer. The company continued adding same-day markets, reaching Atlanta and Chicago in late 2023, Miami in January 2024, and Dallas and Boston as listed on its current site.
Risks & controversies
The business is exposed to extreme seasonal demand concentration: Valentine's Day can represent up to 30-40% of annual revenue for flower delivery companies, and UrbanStems' own Valentine's Day 2017 operational failure led to missed guaranteed delivery windows, a suspension of new orders and significant customer dissatisfaction. Perishable-goods logistics and rapid multi-market expansion add operational complexity, and co-founder Ajay Kori has publicly described severe founder burnout during his tenure as CEO that he says affected decision-making and executive team dynamics.
Compiled by commissioned research from 8 cited public sources — announcements, filings, and press listed under research sources below.
Key figures
latest reportedCompany-reported or press-reported figures, each dated to when it was claimed — not independently audited.
Competitors · 5
by search overlapCompanies competing with UrbanStems for the same Google search keywords, organic and paid, via search-intersection analysis.
Timeline · 8
launches, deals, and filingsThe site merchandises co-branded bundles pairing bouquets with Coterie baby essentials, Levain cookies and curated wine selections.
UrbanStems extended its same-day delivery service to Miami, its fourth new market in six months, and released a limited-edition Flamingo Bouquet available through February 4, 2024.
Secured $5 million in Series C extension funding led by SWaN & Legend and DF Enterprises with additional participation from existing investors, to fund same-day delivery expansion.
$5M source ↗
The company added same-day service in Atlanta and Chicago in late 2023, alongside legacy markets Washington, D.C., Los Angeles, New York City and Jersey City.
UrbanStems was cited by Inc. magazine as one of the country's fastest-growing businesses between 2015 and 2019.
Kori served as CEO until 2019 before moving to the chairman role; the founders recruited Seth Goldman, former U.S. CEO of HelloFresh, as Chief Operating Officer and then offered him the CEO role.
Orders outpaced fulfillment capacity, delivery windows were missed and new orders were suspended until the backlog cleared; Kori emailed affected customers with his personal phone number and received more than 300 calls.
Co-founders launched the service on Valentine's Day 2014 in Washington, D.C., with bouquets starting at $35, free delivery and a promise of delivery within an hour by an in-house bicycle courier fleet.
Dated company events from announcements, filings, and press; legal rows summarize public dockets and regulator releases.
Legal entities · 1
corporate structure▸Research sources · 8
primary sources listed
- UrbanStemsurbanstems.com · web
8 public sources were cited for this profile; the first-party ones are listed here.
Frequently asked questions
- What does UrbanStems do?
- UrbanStems is an online flower and gift delivery company offering same-day delivery in eight U.S. cities and next-day nationwide.
- Who founded UrbanStems?
- UrbanStems was founded by Ajay Kori, Jeff Sheely in 2013.
- Who are UrbanStems's investors?
- UrbanStems's investors include Dopamine Ventures, Innvotec Ltd., Motley Fool Ventures, NextGen Venture Partners, SWaN & Legend Venture Partners, The Players' Impact, Valence Ventures.
- How much funding has UrbanStems raised?
- UrbanStems has disclosed $35.3M raised across 5 of its 6 known rounds.
- Where is UrbanStems headquartered?
- UrbanStems is headquartered in Washington, US.


