HFS does not need to be beside the template folder
1. Unrar one of the RAWR Designs Template .RAR to any location
2. Open HFS (there should be nothing in the HFS tree at this moment) > Menu > HTML Template > Change File >>> Select the *.tpl file that came in the template RAR file. (a message will be displayed in HFS afterwards, and a template folder added to the HFS tree)
PS. If you have no experience in making templates i should suggest that you yourself practice messing with such templates that are already done so you can afterwards make you own custom one. As for me i've learned a lot in the past months by doing so.
PS2. Please post only on one topic if related to the subject.