For starters, it's called a cape. Second of all, you first must get to level 20, then do the cape mission from the City representative in Atlas Park.
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Burmy has three different types of cloaks; trash, sand, and grass. Depending on where your burmy's last battle was, it will change its cloak to match the area.Grass cloak - battle in a forest or grasslands type areaTrash cloak - battle in a city or urban type of areaSand cloak - battle in a mountainous or dessert type of areaThis is important if your burmy is female, because the type of cloak your burmy is wearing when it evolves affects what type of wormadam it evolves into. However, if your burmy is male, it will evolve into mothem, which is not affected by the type of cloak burmy was previously wearing.After your burmy battles in a grassy or forest type of area, it will change into a grass cloak.Make your Burmy battle in a city or town type of area (for example, the Jubilife TV Station) and it will change to a trash cloak.
Take any type of Burmy and have it battle in a city or town like area.
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You get to create a Warshade or Peacebringer
It changes its cloak after a fight in a certain area. If you fight with it outside, or in long grass, then it takes on the Plant Cloak form. Beaches and caves will give Sandy Cloak, inside buildings will give Trash Cloak.