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Because the fur trade with the American Indians was effectively established, Champlain's colony was prosperous.

The first permanent French settlement in the new world was founded by Samuel de Champlain, a French soldier, and navigator. New France is established. In Port Royal, Nova Scotia, Champlain established his first settlement in the New World in 1605. At Quebec (City), on the St. Lawrence River, Champlain established the first permanent French settlement in the New World in 1608. The colony was founded as a hub for fur commerce.

Up until his death in 1635, Champlain directed the development of New France in the St. Lawrence River basin by founding trading firms that brought products, particularly fur, to France. Champlain's descriptions won over the King's admiration. In an effort to bring prosperity back to France, King Henry IV urged the French to start colonizing the New World. So he dispatched an expedition to find a location in the New World where a French colony and town for the fur trade could be built.

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