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FriendColour is a client mod that allows you to give your mates capes, an extra nameplate tag and the most useful feature: customize your friends' names and add colours etc.! It is customizable with the advanced, user-friendly FriendColour GUI.

Installation:

Download FriendColour by pressing the link above.
Put all files from the downloaded zip-file into %appdata%/.minecraft/bin/minecraft.jar
Remove META-INF.

Tutorials and more information at Minecraft Forums

License Agreement:
The mod FriendColour is Copyright © 2013 by CurseLuke and the intellectual property of the author. It may be not be reproduced under any circumstances except for personal, private use as long as it remains in its unaltered, unedited form. It may not be placed on any web site or otherwise distributed publicly without advance written permission. Use of this mod on any other website or as a part of any public display is allowed as long as it meets the following requirements. Otherwise, it is strictly prohibited and a violation of copyright.

You may not re-upload this mod.
If you feature this mod on any website, you must provide the official download link (www.curse.com/mc-mods/minecraft/friendcolour/download/)
You may not link to any website that does not meet these requirements.