For some reason, when you test settings of leds within lightflo, they do not show anything other than green. However, as you noted, the colors do work when messages/notifications received.
Led colors will only work to what phone is capable of. Lime hasn't worked on any of my Android RAZR phones (OG Droid/Droid 2/RAZR Maxx). I get yellow, orange, green, cyan, blue, red, magenta and white.
I use LightFlo Pro. I mainly wanted it because with my custom ROM, it allows led lights to be seen with screen ON. Needed for docking and full screen. (I have threads in a few forums explaining this, so please don't flame me here as well...)
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