1. Take your character and put all its data and sprites in the folder "other"
2. Go into your character's data file and change it so it directs to the "other" folder

head: other\template_f.bmp
small: other\template_s.bmp
file(0-69): other\template1.bmp  w: 79  h: 79  row: 10  col: 7
file(70-139): other\template2.bmp  w: 79  h: 79  row: 10  col: 7

ONLY CHANGE IT SO IT SAYS OTHER, DO NOT CHANGE IT SO IT SAYS TEMPLATE, ITS JUST AN EXAMPLE

3.Go into the data folder and open the data.txt

4. Add this line 

id:  0  type: 0  file: other\yourcharactername.dat

under 

id:  7  type: 0  file: chars\jiraiya.dat

so it should look like this

...
id:  10 type: 0  file: chars\deidara.dat
id:  1  type: 0  file: chars\orochimaru.dat
id:  7  type: 0  file: chars\jiraiya.dat
id:  0  type: 0  file: other\template.dat
...

5. You're done