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There may be a 3rd party app that does what you're looking for, but the "built-in" way is to use /Applications/Utilities/Disk Utility to create an encrypted, i.e. password protected, disk image in which you'd store your folder. (Set a custom disk size of 10 MB to get the smallest possible disk image if that's what you need, and use "No partition map".)

I think the procedure is pretty straightforward, but I'll be happy to walk you through it if you need assistance.

Edit: IMPORTANT... If you forget your password you're SOL; there's no way to recover it!!!