A land grant program designed to attract settlers to the Virginia colony, and other colonies subsequently, offered a specific amount of land, typically 50 acres, to each person who paid for their own passage to the New World. This allotment also extended to individuals who financed the transportation of indentured servants. Thus, those who brought multiple laborers to the colonies accumulated significant land holdings, establishing a distinct social and economic hierarchy. As an example, a colonist who paid for the passage of ten individuals would be entitled to 500 acres of land under this system.
This mechanism proved vital in addressing the labor shortage prevalent in early colonial agriculture, particularly in the tobacco-growing regions. It incentivized immigration by providing a tangible reward: land ownership. The influx of indentured servants fueled agricultural production and expanded colonial territories. However, it also contributed to social inequalities, concentrating land ownership in the hands of a relatively small number of wealthy planters. The increasing demand for land and labor also indirectly fueled tensions with Native American populations as colonists encroached upon indigenous territories.