Same problem here. Here's how I fixed it using bits of the other solutions posted here.
I had dozens of these errors in the application event log:
Windows API call WaitForMultipleObjects returned error code: 575. Windows system error message is: {Application Error}
The application was unable to start correctly (0x%lx). Click OK to close the application.
Reported at line: 3730.
I realized that I had SQL Server Management Studio installed on my development machine, but no other SQL components. I installed the database engine, shared components, and localdb from SQL Express
https://www.microsoft.com/en-us/cloud-platform/sql-server-editions-express
After installing, I still get the same error in event log :(
Found this article:
Cannot start LocalDB
Run the following in cmd to get the localdb instance name:
C:> sqllocaldb info
In my install, I had:
MSSQLLocalDB
ProjectsV13
I ran the following to delete the instances:
sqllocaldb delete MSSQLLocalDB
sqllocaldb delete ProjectsV13
I ran into issues trying to delete/create these (sqllocaldb delete MSSQLLocalDB). I ended up deleting all of the folders and files under '%LocalAppData%\Microsoft\Microsoft SQL Server Local DB\Instances*' (You need to stop SQL Server and kill all sqlserver processes)
Then running 'sqllocaldb create' created and started the default instance and all files.