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Unless your father-in-law is a knifemaker, he probably does not have all the equipment needed for making a knife. Heat Treatment will be your biggest challenge. Sending the knife to Jarod Todd (JT Custom Knives) will be your best choice to have it hardened.
Shaping and tapering the blade will be the biggest work. JT might be helpful here, as he has knife blanks for sale that will cut down the amount of work.
www.jarodtodd.com
One of your first decisions will be to pick the steel you want the knife from.
There are many good books on knifemaking. A few are:
Step-by-step Knifemaking - Boye
Introduction to Knifemaking - Berg
Knifemaking - Loveless
Far better than a book will be to find a knifemaker near you and visit him. He may offer to help you build your knife.
Final suggestion, many suppliers sell pre-finished knife blades that only need the handle attached. This may be a good starting attempt to feel out knifemaking.
For this option, as well as supplies and handle material needed to make a knife, try Knifekits.com, Texas Knife Supply, Jantz knife supply, USA Knifemakers, K&G Knife supply, etc.