Plan a 30X40 shop with $100,000 in tools. Draw a layout and list everything you think will make the ultimate workshop. Tools, supplies, equipment, etc.
Then come down to reality and start deciding which of those tools you can afford, how much space you will actually have to work in, and what tools you have to have and what tools are optional.
The short list for making knives is:
Belt grinder:
2X72 is far and away the best choice. You can start with a basci unit and improve it as you can afford. Look at the Reeder grinder basic chassis and accessories as a good way to grow a grinder. Starting with a VFD motor/controller is a wise decision if you can afford the extra dollars. There is an excellent ebay seller who sells turn-key motor/VFD packages wired and ready to bolt on the grinder.
HT oven:
A proper HT oven is the best way to do HT. It will allow many metallurgical procedures from hardening to annealing to be dome easily and properly. Again, it is a bit costly in the initial purchase, but the benefits are well worth the cost. They last a very long time.
Forge:
You DON'T need to forge to make knives. In fact, it is probably best to start out not forging and learn stock removal first.
A simple forge will HT simple carbon steels. It takes some practice and skill to use one effectively, though.
Workbench:
A solid proper height bench can be made from 2X4s and 2X6s. A smooth top is nice, but not necessary.
Surface plate:
This is often overlooked and one of the low-cost things to buy. Woodcraft sells 8X11 granite surface plates at less than $20. A section of granite countertop, or a piece of heavy glass tabletop will also work in a pinch. Use this to place a sheet of sandpaper on (spray the surface with water to make the paper stay in place easier) and you can flat sand a blade to a very precise flatness.
Basic hand tools:
FILES - get several sizes and cuts of files to do the rough removal. Nicholson Magicut are wonderful knifemaking file. Aet of small needle files is also useful.
Clamps, a few hammers, etc.
Cutting tools:
A metal cutting bandsaw is a good tool to have. A Porta-Band saw (Milwaukee is a great brand) with a SWAG Table (homemade is fine) will do for most all tasks. A HIgh-Tension hacksaw frame and good Lenox or similar bi-metal blades will also work fine ... for about $30.
Supplies:
Sandpaper in grits from 100 to 2500. Use good grade paper. Rhynowet and other brands are regularly discussed here in the forums. Get teen sheets of each grit in waterproof paper type. You will use a lot of sandpaper. Same with grinder belts. You will need plenty.
Steel:
Don't play the steel of the day game. Pick a steel and use only that steel for a good year before jumping around. 1080 is an excellent choice if you are using a forge to do HT. Magnacut is great if you have a HT oven.
Misc nice to have things:
Welder - a wire welder or stick welder comes in handy.
Torch - a good plumbers torch is handy, a small Ox-Acetyl rig is alos useful. An old plumbers Prest-o-lite bottle and torch can often be found really cheap.
LIGHTS:
You need lots of good light in the shop.4' long LED 5500-6500K lamps are best.
