Hi there Dennis, welcome aboard and yes, the diaphragm goes flat side up. Are there any obvious leaks around the primer face? It's odd that fuel is getting into the carby but it's not drawing it through and running, even after you spray start the motor.
Which spring did you stretch?, theres only 2, the short one under the diapragm and the long one above the diapragm.
Here are a few simple checks:
Is the carb leaking?
Is the primer face the right way up?
Is the needle in place?
Is the jet blocked?
Is the lifter (the 3 pronged plastic part under the diaphragm) the right way up?
Posting a few close ups of the carb will also help.
Cheers and good luck