Although the survival of children born preterm has increased dramatically in the last decades, their developmental outcome remains of great concern. The last trimester of pregnancy is the stage of major brain development and prematurely born children spend part of this crucial period in the neonatal intensive care unit making them vulnerable to a multitude of risk factors that can perturb their brain growth and affect their neurodevelopment. This review gives an overview of early and long-term neuromotor, cognitive, behavioral and emotional outcomes following preterm birth, and explores why prematurity can lead to adverse or atypical development that may have a significant impact on later academic achievement and quality of life. We then focus on early predictors of outcome, in particular the clinical and imaging predictors. Finally, this review will address the environmental factors as well as some of the early intervention strategies that can moderate the effects of prematurity.