By the late 16th Century, England realised that it needed to find a way to exploit the newly-discovered lands in the Americas. There were good reasons for this.
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England lost Calais, its last European possession, in 1558, during the of Mary I. England was now completely isolated from Europe for the first time in 500 years.
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The Spanish and Portuguese had already created in the New World, and were bringing back great riches from South America.
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England realised that, if it were to compete with other powers, it had to develop its own in the New World.
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Later were developed because there was a lot of unclaimed land. The land was ideal for growing crops such as tobacco, which could be sold for high prices in Europe.