Edge preparation can remove cutting edge defects, such as burrs, chippings, and grinding marks, generated in the grinding process and improve the cutting performance and service life of tools. Various edge preparation methods have been proposed for different tool matrix materials, geometries, and application requirements. This study presents a scientific and systematic review of the development of tool edge preparation technology and provides ideas for its future development. First, typical edge characterization methods, which associate the microgeometric characteristics of the cutting edge with cutting performance, are briefly introduced. Then, edge preparation methods for cutting tools, in which materials at the cutting edge area are removed to decrease defects and obtain a suitable microgeometry of the cutting edge for machining, are discussed. New edge preparation methods are explored on the basis of existing processing technologies, and the principles, advantages, and limitations of these methods are systematically summarized and analyzed. Edge preparation methods are classified into two categories: mechanical processing methods and nontraditional processing methods. These methods are compared from the aspects of edge consistency, surface quality, efficiency, processing difficulty, machining cost, and general availability. In this manner, a more intuitive understanding of the characteristics can be gained. Finally, the future development direction of tool edge preparation technology is prospected.