SQL Server 2012 can't start because of a login failure

Question

I recently installed Microsoft SQL Server 2012 on a fresh Windows 7 installation, but whenever I want to run the server, I get the following error:

Error

Answer 1

While ("run as SYSTEM") works, people should be advised this means going from a minimum-permissions type account to an account which has all permissions in the world. Which is very much not a recommended setup best practices or security-wise.

If you know what you are doing and know your SQL Server will always be run in an isolated environment (i.e. not on hotel or airport wifi) it's probably fine, but this creates a very real attack vector which can completely compromise a machine if on open internets.

This seems to be an error on Microsoft's part and people should be aware of the implications of the workaround posted.