1) He thought he had "found" another undiscovered part of The Indies.
2) He found that there were tons of cod fish in the waters around Newfoundland. This was a very useful resource to take back to England.
Below is a short video reenactment:
After his first trip, Cabot returned to England. He then set sail with five ships on second voyage in 1498, but . . . he was never heard from again! What happened to him and his crew remains a mystery. What do you think happened?