Children with familial risk (FR) of dyslexia and children with early language delay are known to be at risk for later language and literacy difficulties. However, research addressing long‐term outcomes in children with both risk factors is scarce. This study tracked FR and No‐FR children identified as late talkers at 2 years of age and reports development from 4;6 through 6 years. We examined the possible effects of FR‐status and late talking (LT) status, respectively, on language skills at school entry, and whether FR‐status moderated the associations between 4;6‐year and 6‐year language scores. Results indicated an effect of LT status on language at both ages, while FR status affected language skills at 6 years only. The interaction between LT and FR statuses was not significant, implying that LT status affected language skills independently of the child's FR status. A proportion of late talkers developed typical language at 6 years of age, while some FR children with typical vocabulary skills in toddlerhood had emerging developmental language disorder by school entry. FR status had a moderating effect on the association between expressive grammar at ages 4;6 and 6 years. Possible explanations for the effect of FR status on language skills are discussed. We highlight limitations in the study size and suggest how these preliminary findings can inform future research.