A business lender is carving out a niche supplying working capital loans with interest rates as high as 150 per cent.IPO Capital Pty Ltd, a recently formed firm in Melbourne, specialises in funding business in the throes of preparing to undertake an initial public offer and list on the ASX.To support its lending IPO Capital is now seeking funding from investors for up to A$1.5 million.In a presentation for investors circulated this week, IPO Capital explained that it "specialises in listing companies on the Australian and London Stock Exchanges."Its borrowers "must be agreeable to 50 per cent to 150 per cent of that borrowing cost."Its target market is firms that are "a client of The Public Listing Co (a related entity) in Australia or Britain" and "must be undertaking a major capital raising within 90 days, with the loan repaid from that capital raising."IPO Capital and The Public Listing Co retain more than 80 per cent of each loan's proceeds and share 17.5 per cent with its own debt investors.The chief executive of IPO Capital, James Mawhinney, is former CEO of advertising agency Reeltime Media.