Does anyone have any sort of image that supports booting from the CF card
Not yet, but I will soon: my IA-1 came today, and I plan to do all my booting from CF, because I want to tinker with various OSes on it.
If I can't find an image already built, I'll go ahead and put one together. If there's any interest beyond you and me, I'll look into hosting it somewhere.
It seems to me that the ideal setup for booting from CF would be to have multiple partitions, just like a hard disk. That way, people who don't have the expertise to build bootable images can add apps and data files that meet their needs to the CF.
However, my first quick look at how the Midori image gets built turned up references to the El Torito standard, and I don't think El Torito CDs can be partitioned. Does anyone know of a HOWTO for creating bootable CF cards that look like hard drives instead of CD-ROMs?
"Unfortunately the method described requires a Linux box"
Think of it as an incentive to get a real OS for your desktop 
Ran