They don't. For non-viable business models the DIP financers typically lose money and often lose it ALL.
However it is a common scheme in pennystock land to find those suckers who you've already shafted on the main stock fraud and go back to them and harvest mor emoney from them - either in the form of telling them that they will be buying a good deal via preferred notes allegedly paying interest and often convertible for shares, private placement shares at discounts and often with warrants, and/or notes payable with high yields and upsides (warrants or conversion features).
Pennystock scammers know that the best source for more money is the sucker they've already drained, as a key feature of human behavior is chasing losses - the bigger your loss the more desperate you are to recover it by betting more.
The insiders typically cook up the story that the suckers are really getting in on an "inside deal" that will wind up with them owning this great asset - which in pennyland is typically the same worthless asset they lost money on investing in the first place.
It never fails - I've seen the same pattern in many pennystocks. LOCH/CEXI drained tens of millions from suckers drained in LOCH when it was spun off as CDEx (CEXI) and the LOCH losers were offered great "insider type deals" as private placements - this went on for 8 years - the company is still worthless because the underlying business was not viable - but the insiders got 8 more years of salary, pennystock trading, built-in hypesters (the PPers acting as promoters and ginning up OTC market buyers for insiders selling their stock), and as I said, tens of millions of dollars from the very same folks they scammed in the original non-viable business (LOCH).
This is a classic pennystock scam tactic.
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