I am having the exact same problem that
@kriegerstamm is having. I have up to date Atmosphere, Lakka, and Hekate. The only thing that is not updated is my switch firmware which is at 13.2.1. I can upgrade it but haven't yet, but I am under the impression that Lakka should work regardless of the Switch firmware version. I have also tried the latest nightly build of Lakka and that also doesn't work.
The following is also true for me:
-storage device properly formatted to FAT32 - I have also tried 2 different SD Cards - a Sandisk Extreme, and a Samsung EVO plus. Neither works.
-switch is jailbroken and blocking nintendo servers etc,
-retroarch is downloaded via hbmenu appstore and currently updated (although I don't think having retroarch installed impacts Lakka)
My Lakka.ini file looks good, and my lakka folder structure also looks good.
I don't know if anyone knows how to run the logs, but if someone knows and that would help, please feel free to let me know.
I am willing to try anything at this point! HALP!