Bent Dagger
Warped, rusting and more likely to snap than to pierce. Every starting kit needs one disappointment.
The blade is visibly bent, the edge is dull, and the cloth on the hilt is frayed and stained. Two gold pieces, one pound, no illusions. Useful precisely because it is bad: the weapon a prisoner improvises with, the thing the goblin was carrying, the only steel in a beggar's boot. Drop it in the loot when you want the party to feel poor.