...
If you setup the system correctly, you should be able to start the background services (both core service and extension service) in task manager. Every time you re-build a solution, you will need to restart the service to see the changes.
The dbs you download from livebackup are anonymized dbs. They contains no sensitive user info. Thus you will see usernames like PatLearner0001A7D8-E9C1-11E8-80C5-00000A7B69B5.
If you just restored a new DB, it takes longer time (about 5-10 mins, remember to restore the db in a ssd of the PC!) to migrate the database and start the service. (You can have multiple code folders as well as multiple services).
...