I really don't understand why a company under cash constraints that's doing digital work would have a physical office anyway. Consider it as a perk - how many thousands of dollars a month do people spend on office space? Would the employees be happier taking that money as salary and working remotely? I'd bet so.
I thought that too when we started our company, but my co-founders convinced me we needed a space. They were right. The company (and certainly the culture) is better because we mostly all work near each other, and see each other, and can overhear problems other people are having. I suppose the math might be different if I were paying SF rents. YMMV.